Stewart Company
The following information relates to financial projections of Stewart Company:
Projected sales 60,000 units
Projected variable costs $ \$ 2.00 $ per unit
Projectedfixed costs $ \$ 50,000 $ per year
Projected unit sales price $ \$ 7.00 $

Refer to Stewart Company.If Stewart Company achieves its projections,what will be its degree of operating leverage?
A)6.00
B)1.20
C)1.68
D)2.40

Question

Stewart Company
The following information relates to financial projections of Stewart Company:
Projected sales                                                        60,000 units
Projected variable costs                                           $ \$ 2.00 $ per unit
Projectedfixed costs                                                $ \$ 50,000 $ per year
Projected unit sales price                                        $ \$ 7.00 $

Refer to Stewart Company.If Stewart Company achieves its projections,what will be its degree of operating leverage?
A)6.00
B)1.20
C)1.68
D)2.40

Quizplus · Accepted Answer

The Answer of Stewart Company
The following information relates to financial projections of Stewart Company:
Projected sales                                                        60,000 units
Projected variable costs                                           $ \$ 2.00 $ per unit
Projectedfixed costs                                                $ \$ 50,000 $ per year
Projected unit sales price                                        $ \$ 7.00 $

Refer to Stewart Company.If Stewart Company achieves its projections,what will be its degree of operating leverage?
A)6.00
B)1.20
C)1.68
D)2.40

Stewart Company the Following Information Relates to Financial Projections of Stewart

Stewart Company
the Following Information Relates to Financial Projections of Stewart