An 8 year project is estimated to produce a product with the following information: selling price = $80 per unit; variable costs are $65 per unit; fixed costs are $20,000; required return is 10%; initial investment = $200,000.Calculate the Degree of operating leverage.
A)0.83
B)0.73
C)0.63
D)0.53

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The Answer of An 8 year project is estimated to produce a product with the following information: selling price = $80 per unit; variable costs are $65 per unit; fixed costs are $20,000; required return is 10%; initial investment = $200,000.Calculate the Degree of operating leverage.
A)0.83
B)0.73
C)0.63
D)0.53

An 8 Year Project Is Estimated to Produce a Product