Calculate operating equilibrium point for chart levin corp

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Degree of operating leverage: Chart Levin Corporation has fixed operating costs of $ 72,000, variable operating costs of $ 6.75 per unit, and a selling price of $ 9.75 per unit.

Problem a) Calculate the operating equilibrium point in units.

Problem b) Determine the degree of operating leverage (GAO) for the following levels of unit sales: 25,000, 30,000 and 40,000. Use the formula presented in the chapter.

Problem c) Calculate the degree of operating leverage at 24,000 units

Reference no: EM132950620

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