1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
g100num [7]
3 years ago
12

At an output level of 59,000 units, you calculate that the degree of operating leverage is 3.3. The output rises to 64,000 units

. What will the percentage change in operating cash flow be? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Percentage change in OCF %
Business
1 answer:
11Alexandr11 [23.1K]3 years ago
5 0

Answer: Percentage change OCF = 27.96%.

Explanation:

Given that,

Output level = 59,000 units

Degree of operating leverage = 3.3

Output rises to 64,000 units,

Degree of Leverage = \frac{Percentage\ change\ in\ Operating\ cash\ Flow}{Percentage\ change\ in\ Quantity}

Percentage change OCF = Degree of Leverage × Percentage change in Quantity

= 3.3 \times \frac{64000-59000}{59000} \times 100

= 27.96%

You might be interested in
you are writing a long, complex document in which you need to explain a series of events that led to a problem, evaluate several
hjlf

Answer:

Hi

Explanation:

What organizational pattern would probably be most effective for arranging the main points of a speech with the specific purpose "To inform my audience about three major ways to block junk mail from their e-mail system"? chronological order.

7 0
3 years ago
Murray Motor Company wants you to calculate its cost of common stock. During the next 12 months, the company expects to pay divi
frozen [14]

Answer:

Cost of retained earnings  = 0.13

Explanation:

given data

(D1) = $1.80

current price = $36  

growth rate = 9 percent

solution

we get here Cost of retained earnings  (Ke) that is express as

Cost of retained earnings = ( D1 ÷ P ) + g    ................1

here P is price and g is growth rate

put here value and we get

Cost of retained earnings =  (1.80 ÷ 36 ) + 0.08

Cost of retained earnings  = 0.13

4 0
4 years ago
Given the following make-buy information, what would be the break-even point?Make Option Buy OptionFixed Costs $15000$1250Variab
grin007 [14]

Answer:

d. 2750 units

Explanation:

The break-even point occurs when the make option cost equals the buy option cost. The number of units 'x' needed in order for both options to yield the same costs is given by:

\$15,000+x*\$5=\$1,250+x*\$10\\\\x=\frac{\$15,000-\$1,250}{\$10-\$5}\\\\x=2,750\ units

The break-even point is 2,750 units

3 0
3 years ago
Disability income insurance will provide income to a disabled or ill person ___________.
vlada-n [284]
Disability income insurance will provide income to a disabled or ill person with a waiting period before income is received. Commonly, when a person applies for disability income insurance and is taking out money from the government for disability there is a period of waiting. During this period they review all information given and decides whether or not the person applying actually qualifies for the funds they are wanting to receive. Most states have a set time frame they have to wait and also a set time frame of how long people can receive funds for. 
3 0
3 years ago
_____is best described as the process of selling a prototype of a product in either a real or simulated market environment.
Ipatiy [6.2K]

Answer: Test marketing

Explanation:

6 0
2 years ago
Other questions:
  • Security dealers: are limited to trading non-listed stocks. buy and sell from their own inventory. operate exclusively in auctio
    5·1 answer
  • The following information pertains to Crane Company. 1. Cash balance per bank, July 31, $9,222. 2. July bank service charge not
    8·1 answer
  • When using the overview module to learn about your metrics data in hootsuite analytics, it automatically analyzes both the time
    10·1 answer
  • Multinat is a large corporate with its headquarters in Asia. It wants to open new divisions in Africa and Australia. The company
    5·1 answer
  • Cathy's Coaster Company uses cork in all of the protective drink coasters that it manufactures. If Cathy's enters into an agreem
    15·1 answer
  • Investment banks are guilty of conflict of interest when they A) pressure their analysts to produce research favorable to their
    8·1 answer
  • Icy Mocha Company estimates its factory overhead costs to be $35,000 and machine hours to be 5,000 for the year. If the actual h
    8·1 answer
  • Bella wans is interested in buying a new motorcycle. she has decided to borrow the money to pay the ​$30 comma 000 purchase pric
    14·2 answers
  • Review the following sources and decide if they are reliable and relevant.
    12·1 answer
  • Incapacity or death, bankruptcy, or destruction of property are examples of circumstances where agency terminates by ______.
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!