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JulsSmile [24]
3 years ago
11

A company has a degree of operating leverage of 2.5. If sales increase by 10%, then profits will: Multiple choice question. incr

ease by 25% increase by 10% decrease by 10% decrease by 25%
Business
1 answer:
RSB [31]3 years ago
4 0

Answer:

. increase by 25% increase

Explanation:

The degree of operating leverage (DOL) measures the sensitivity of a company's operating income or profits to changes in the demand

DOL = percentage change in operating income or profits / percentage change in units sold

2.5 = percentage change in operating income / 10%

percentage change in operating income  = 10% x 2.5 = 25%

profits will increase by 25%

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Answer:

A competitive price-searcher market is a market where there are low entry or exit barriers, and the suppliers can determine the price of their products. Some economists believe that this type of market is inefficient because the suppliers are not able to sell enough output in order to minimize their average costs. Since the demand is very elastic in price searcher markets, any price change will cause a drastic change in the quantity demanded.

Price searcher markets share a lot of similarities with perfect competition markets, the main difference is that suppliers and consumers are not price takers. This means that any supplier can change their sales output by changing their price, which leads to greater competition.

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The largest owner/operator of radio stations in the United States is ____________________. In 2006, this company became a privat
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The largest owner/operator of radio stations in the United States is iHeartMedia. In 2006, this company became a privately owned company.

<h3><u>What are radio stations?</u></h3>
  • Radio broadcasting is the process of sending audio over radio waves to radio listeners in a public setting, sometimes along with accompanying metadata.
  • Unlike satellite radio, which uses a satellite in Earth's orbit, terrestrial radio broadcasting uses a land-based radio station to transmit radio waves. The listener needs a broadcast radio receiver to hear the material.
  • A radio network with which stations frequently have affiliations provide content in a standard radio format, whether through broadcast syndication, simulcasting, or both.
  • Various types of modulation are used by radio stations during transmission: Older analog audio standards like AM and FM are used by radio stations to transmit audio, whereas modern digital radio stations use DAB and other digital audio standards.

Through its division iHeartMedia and subsidiary iHeartMedia and Entertainment, Inc., iHeartMedia, Inc. focuses on radio broadcasting, podcasting, digital, and live events. With more than 850 full-power AM and FM radio stations nationwide, it is the largest radio station owner in the nation.

Know more about radio stations with the help of the given link;

brainly.com/question/9531764

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8 0
1 year ago
The two viking spacecraft did not find convincing evidence of life on mars, nor did the phoenix lander. do these results imply t
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They don't. Water was found and there are actually implications that if it doesn't exist nowadays, it might have historically existed long before there was even life on earth. There are theories that there was life on Mars millions of years ago way before earth had life.
5 0
3 years ago
Which of the following statements regarding financial statement analysis is incorrect? A. The profit margin can be viewed as a m
irina1246 [14]

Answer: The current ratio measures a company’s effectiveness in using fixed assets to support sales.

Explanation:

The statement regarding a financial statement analysis that is incorrect is option E "the current ratio measures a company’s effectiveness in using fixed assets to support sales".

The current ratio is used by a company to know if there are enough resources that are available in order to meet the short term obligations of the company.

This is done through the comparison of the current assets of the company to the current liabilities of the company.

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3 years ago
McLaughlin and Ferris is an accounting firm that has a stiff, bureaucratic structure. The company has a promotion scheme where p
SCORPION-xisa [38]

Answer:

The correct answer is programmed.

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