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olasank [31]
3 years ago
6

You are in charge of a project that has a degree of operating leverage of 1.24. What will happen to the operating cash flows if

the number of units you sell increase by 3.8 percent? Group of answer choices 4.71 percent increase 4.71 percent decrease 3.06 percent increase 3.06 percent decrease
Business
1 answer:
k0ka [10]3 years ago
5 0

Answer:

4.71 percent increase

Explanation:

The increase in the number of units sold is 3.8%

Degree of operating leverage is 1.24

Therefore, the operating cash flow can be calculated as follows:

Increase in the number of units×degree of operating leverage

= 3.8/100×1.24

= 0.038×1.24

= 0.0471×100

= 4.71%

Hence there is a 4.71 percent increase in the operating cash flow

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Answer:

D) No Yes Yes

Explanation:

As we know that

The conversion cost includes the direct labor cost and the manufacturing overhead cost

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3 years ago
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Accounts receivable from sales to customers amounted to $40,000 and $32,000 at the beginning and end of the year, respectively.
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Answer:

a. $118,000

Explanation:

When preparing a cash flow statement, using indirect method we add decrease in current assets and we deduct increase in current assets.

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Change in Accounts receivables = Closing - Opening = $32,000 - $40,000 = - $8,000

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Net cash flow from operating activity = $118,000

Correct option is

a. $118,000

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3 years ago
Which idea is explicitly stated in the article "what a bad flu season could cost the us economy"?
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Explanation:

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