Sunflower Company sells its product for $4 per unit. The variable cost per unit is $1 and the fixed operating costs are $500. What is the degree of operating leverage at 5,000 units produced and sold at Sunflower Company? What does this mean?

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The Answer of Sunflower Company sells its product for $4 per unit. The variable cost per unit is $1 and the fixed operating costs are $500. What is the degree of operating leverage at 5,000 units produced and sold at Sunflower Company? What does this mean?

Sunflower Company Sells Its Product for $4 Per Unit