Answer:
3
Explanation:
The computation of the degree of operating leverage is shown below:
= (Sales - Variable expense) ÷ (Sales - Variable expense - Fixed expense)
= ($700,000 - $490,000) ÷ ($700,000 - $490,000 - $140,000)
= $210,000 ÷ $70,000
= 3
The (Sales - Variable costs) = Contribution margin
The (Sales - Variable costs - Fixed costs) = EBIT i.e Earnings before interest and taxes
Answer:
$13,296
Explanation:
Federal unemployment tax rate = 0.8% of 96,000 = 768
State unemployement tax rate = 5.4% of 96,000 = 5,184
Social security tax rate+medicare tax rate = 6.2%+1.45% = 7.65%
7.65% of 96,000 = 7,344
So total tax expense = 768+5,184+7,344 = $13,296
So answer is $13,296
As time passes, people adjust to the higher price, and the demand for gasoline becomes less elastic.
<h3>What is price elasticity of demand?</h3>
Price elasticity of demand measures how the quantity demanded of a good changes when price changes. Demand is elastic when quantity demanded changes more than the change in price. Demand is less elastic when quantity demanded changes less than the change in price. With the passage of time, demand becomes less elastic.
To learn more about price elasticity of demand, please check: brainly.com/question/18850846
The answer is true. A value proposition is an innovation or service intended to make a company or product attractive to customers.