Google Answers Logo
View Question
 
Q: Integrative - Multiple leverage measures ( No Answer,   0 Comments )
Question  
Subject: Integrative - Multiple leverage measures
Category: Business and Money > Finance
Asked by: help123-ga
List Price: $12.00
Posted: 29 Mar 2005 12:23 PST
Expires: 01 Apr 2005 19:24 PST
Question ID: 502170
I need this answer by Friday, April 1st 
X Company produces inflatable beach balls, selling 400,000 balls a
year. Each ball produced has a variable operating cost of $0.84 and
sells for $1.00. Fixed operating costs are $28,000. The firm has
annual interest charges of $6,2000, preferred dividends of $2,000, and
a 40% tax rate.

a)	Calculate the operating breakeven point in units. 
b)	Use the degree of operating leverage (DOL) formula to calculate DOL 
c)	Use the degree of financial leverage (DFL) formula to calculate DFL.
d)	Use the degree of total leverage (DTL) formula to calculate DTL.
Compare this to the product of DOL and DFL calculated in parts b and
c.
Answer  
There is no answer at this time.

Comments  
There are no comments at this time.

Important Disclaimer: Answers and comments provided on Google Answers are general information, and are not intended to substitute for informed professional medical, psychiatric, psychological, tax, legal, investment, accounting, or other professional advice. Google does not endorse, and expressly disclaims liability for any product, manufacturer, distributor, service or service provider mentioned or any opinion expressed in answers or comments. Please read carefully the Google Answers Terms of Service.

If you feel that you have found inappropriate content, please let us know by emailing us at answers-support@google.com with the question ID listed above. Thank you.
Search Google Answers for
Google Answers  


Google Home - Answers FAQ - Terms of Service - Privacy Policy