Question: Movers sells utility trailers. Trailers sell for $700, variable cost is $300 per trailer and fixed cost is $680,000. Movers plans on selling 2,000 trailers

Movers sells utility trailers. Trailers sell for $700, variable cost is $300 per trailer and fixed cost is $680,000. Movers plans on selling 2,000 trailers in 2021.

1. Compute break-even point in units

2. . Compute margin of safety in dollars

3. Compute the degree of operating leverage

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