What is the degree of operating leverage

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Reference no: EM131292117

May Clothing is a retail men’s clothing store. May’s variable cost is $40.60 per shirt and the sales price is $81.20 per shirt. May plans to sell 210,000 shirts for the year and at this level would generate a before-tax profit of $2,940,000. What is the degree of operating leverage (DOL) at this volume level? (Round your answer to 1 decimal place.)

Reference no: EM131292117

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What is the degree of operating leverage : May Clothing is a retail men’s clothing store. May’s variable cost is $40.60 per shirt and the sales price is $81.20 per shirt. May plans to sell 210,000 shirts for the year and at this level would generate a before-tax profit of $2,940,000. What is ..

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