What is the degree of operating leverage at the financial

Reference no: EM13280514

A project has the following estimated data: price = $52 per unit; variable costs = $34 per unit; fixed costs = $23,500; required return = 12 percent; initial investment = $30,000; life = three years. A) Ignoring the effect of taxes, what is the accounting break-even quantity? B)What is the cash break-even quantity? C)What is the financial break-even quantity? D)What is the degree of operating leverage at the financial break-even level of output?

Reference no: EM13280514

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