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Lelechka [254]
3 years ago
5

If sales increase from $460,000 to $520,260, and if the degree of operating leverage is 6.60, net operating income should increa

se by: (Do not round your intermediate calculations and round your final answer to 2 decimal places.)
Business
1 answer:
Ganezh [65]3 years ago
6 0

Answer: $397,716

Explanation:

Degree of Operating Leverage = Change in Net Operating Income/ Change in Sales

6.60 = Change in Net Operating Income / (520,260 - 460,000)

(520,260 - 460,000) * 6.60 = Change in Net Operating Income

Change in Net Operating Income = 62,260 * 6.60

Change in Net Operating Income = $397,716

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$33,000

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The computation of the amount realized by X corporation is given below:

= Fair market value to the exchange + cash received

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For determining the amount realized by X corporation we simply added the above two items so that the correct amount could come

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In this organization, each division has specific goals, which are set by the CEO, the Board of Directors, the shareholders, and the leaders of each divison. These specific goals are different but they must respond to a overall, coherent business strategy.

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c. It tends to provide outcomes that satisfy all parties.

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