Use the following information to calculate the companys operating leverage, financial leverage, and combined leverage: Sales volume
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Use the following information to calculate the company’s operating leverage, financial leverage, and combined leverage:
Sales volume ………………………… 100,000 units
Price per unit ………………………… $ 11.30
Interest ……………………………… $ 2 5,000
Variable costs (per unit) …………….. $ 8.30
Fixed costs …………………………. $100,000
Corporate income tax rate …………. 40%
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