subject
Business, 18.03.2021 01:30 santiagodiaz727

Company A is a manufacturer with sales of $3,900,000 and a 60% contribution margin. Its fixed costs equal $1,750,000. Company B is a consulting firm with service revenues of $3,800,000 and a 30% contribution margin. Its fixed costs equal $580,000. Compute the degree of operating leverage (DOL) for each company. Which company benefits more from a 20% increase in sales.

ansver
Answers: 1

Another question on Business

question
Business, 21.06.2019 19:10
King fisher aviation is evaluating an investment project with the following case flows: $6,000 $5,500 $7,000 $8,000 discount rate 14 percent what is the discounted payback period for these cash flows if the initial cost is 15,000? what if the initial cost is $12,000? what if the cost is $16,000?
Answers: 1
question
Business, 22.06.2019 01:30
Iam trying to get more members on my blog. how do i do that?
Answers: 2
question
Business, 22.06.2019 07:50
Connors academy reported inventory in the 2017 year-end balance sheet, using the fifo method, as $154,000. in 2018, the company decided to change its inventory method to lifo. if the company had used the lifo method in 2017, the company estimates that ending inventory would have been in the range $130,000-$135,000. what adjustment would connors make for this change in inventory method?
Answers: 1
question
Business, 22.06.2019 09:30
Oliver's company is planning the launch of their hybrid cars. the company has included "never-before-seen" product benefits in the hybrid cars. which type of advertising should oliver's company use for the new cars?
Answers: 1
You know the right answer?
Company A is a manufacturer with sales of $3,900,000 and a 60% contribution margin. Its fixed costs...
Questions
question
Mathematics, 15.02.2021 20:10
Questions on the website: 13722363