Question: Problem 11-13 Operating Cash Flow and Leverage. 15 K H 5 , Operating cash flow and leverage - Excel ? 5 FILE HOME INSERT PAGE


Problem 11-13 Operating Cash Flow and Leverage. 15 K H 5 , Operating cash flow and leverage - Excel ? 5 FILE HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW Sign In Calibri 11 % pints Paste BIU- - 6-A Cells Editing Alignment Number Conditional Format as Cell Formatting Table Styles Styles Skipped Clipboard Font A1 B D E F G H I JA eBook 1 2 Print 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? References 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 em 11-15 Operating cash flow and Leverage. 15 Sa 5 Operating cash flow and leverage - Excel ? ? FILE HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW Sign In 86 Calibri 11 - A A % 1 points Paste BIU- Cells Editing Alignment Number Conditional Format as Cell Formatting Table Styles Styles Skipped Clipboard Font A1 : fi A B D E F G H I eBook 7 8 Units sold OCF New units sold $ 9,100 102,900 9,500 9 Print 10 11 Complete the following analysis. Do not hard code values in your calculations. References 12 13 14 Original DOL 15 16 Percentage change in quantity 17 Percentage change in OCF 18 19 20 New OCF 21 22 New DOL 23 24 25 26
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