DOL, DFL, and DTL of a firm
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The following are from the production statements of LMNO, Inc.
2004
Units Produced - 758,000
Sales Price per Unit - $ 10.75
Variable cost per unit - $ 4.62
Fixed Cost - $ 1,187,250
Interest Cost - $ 119,234
A). What is the DOL of this firm?
B). What is the DFL of this firm?
C). What is the DTL of this firm?
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Units Produced - 758,000 = q
Sales Price per Unit - $ 10.75 = p
Variable cost per unit - $ 4.62 = v
Fixed Cost - $ 1,187,250 = f
Interest Cost - ...
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