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max2010maxim [7]
1 year ago
12

If a company would like to increase its degree of operating leverage it should?

Business
1 answer:
dalvyx [7]1 year ago
8 0

If a company would like to improve its degree of using leverage it should increase its Fixed Costs relative to its Variable Costs.

<h3>What is the relationship between variable cost and fixed cost with profit?</h3>

As they are time-related, or stable across time, fixed costs. Variable costs depend on volume and shift as the quantity of output does.

Variable costs are those that rise or fall in line with the volume of goods produced, while fixed costs remain constant regardless of output levels. Gross profit is significantly influenced by both fixed and variable costs; when production costs rise, gross profit decreases.

The amount of product generated determines the fluctuation in variable costs. Raw materials, labor, and commissions are examples of variable expenses. Regardless of the level of production, fixed expenses stay constant. Lease and rental payments, insurance, and interest payments are examples of fixed costs.

To learn more about variable cost and fixed cost refer to:

brainly.com/question/14872023

#SPJ4

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A business’s total revenue for a specified period is $500,000, its operating expenses are $50,000, and its net profit if $150,00
creativ13 [48]

Answer:

your answer is 300,000

8 0
3 years ago
The balance in Discount on Bonds Payable that is applicable to bonds due in three years would be reported on the balance sheet i
tankabanditka [31]

The balance in Discount on Bonds Payable that is applicable to bonds due in three years would be reported on the balance sheet in the section entitled of Long-term liabilities.

What is Long-term liabilities?

Long-term liabilities can be regarded as loans aa well as other financial obligations that the repayment schedule would be expected to last over a year.

Some of the examples long-term liabilities are;

  1. deferred revenues
  2. post-retirement healthcare liabilities.
  3. bonds payable
  4. long-term loans
  5. pension liabilities

It should be noted that balance in Discount on Bonds Payable that has a due time of three years would be reported at Long-term liabilities section.

Learn more about Long-term liabilities at:brainly.com/question/25596583

4 0
2 years ago
Structure is important because it helps our minds begin to develop expectations about what will happen next in a piece of music.
KatRina [158]
The term structure in music describes the layout of a composition as divided into sections. It describes<span> the way the music piece is built up.</span><span>
The statement that structure is important because it helps our minds begin to develop expectations about what will happen next in a piece of music is true.
</span>
8 0
2 years ago
How does the spending multiplier compare between a $1,000 increase in government spending and a $1,000 decrease in taxes collect
mr Goodwill [35]

Answer: Option B

Explanation: In simple words, spending multiplier refers to the effect that the spending from the govt have on an economy. As per this effect, if the govt. spends a little on the economy the multiplier effect will come into force and make a major impact on the organisation.

Government spending refers to the total outflow of resources made by the govt. for the betterment of economy. However the decrease in tax will not directly be considered an outflow but it surely does increase their revenue leading to more demand in the economy.

Hence from the above we can conclude that the correct option is B .

8 0
3 years ago
Technician who is responsible for keeping an airport's control tower's electronic equipment in working order has higher ________
Ronch [10]

The answer to the blank space in the question is task significance. Task significance is <u>the extent to which a person’s job is perceived as important and has impact on both the company and customers</u>.

Jobs with higher task significance would be perceived as important by both the person doing it and other people around him, including his co-workers and customers.

5 0
3 years ago
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