HS ? 5 x Operating cash flow and leverage - Excel FORMULAS DATA REVIEW FILE HOME INSERT PAGE LAYOUT VIEW Sign In Calibri - 11 i Paste I % Alignment Number Conditional Format as Cell Formatting Table Styles Styles Cells Editing Clipboard Font A A1 V A B B D 11 F G > H 1 J 1 2 3 A proposed project has fixed costs of $83,000 per year. The operating cash flow at 9,100 units is $102,900. Ignoring the effect of taxes, what is the degree of operating leverage? If units sold rise from 9,100 to 9,500, what will be the increase in operating cash flow? What is the new degree of operating leverage? 4 5 6 $ 7 Fixed costs Units sold OCF New units sold 83,000 9,100 102,900 9,500 8 $ 9 10 11 12 Complete the following analysis. Do not hard code values in your calculations. 13 14 Original DOL 15 16 Percentage change in quantity 17 18 Percentage change in OCF 19 20 New OCE Sheet1 READY !! + 100% Attempt(s)