Question: please help me QUESTION 3 We are evaluating a project that costs $786,000, has an eight-year life, and has no salvage value Assume that depreciation
QUESTION 3 We are evaluating a project that costs $786,000, has an eight-year life, and has no salvage value Assume that depreciation is straight line to zero over the life of the project Sales are projected at 65,000 units per year Price per unit is $48, variable cost per unit is $25, and fixed costs are $725,000 per year. The tax rate is 22 percent, and we require a return of 10 percent on this project What is the degree of Operating leverage? O 1.8.379 O 2.12.89 O 3.9.983 O 4.4.89
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