At an output level of 45,000 units, the degree of operating leverage is 4.2. The output increases to 48,000 units. What will be the percentage change in operating cash flow? (Do not round intermediate calculations. Enter answer as a percent rounded to 2 decimal places.)

Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter12: Capital Investment Analysis
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At an output level of 45,000 units, the degree of
operating leverage is 4.2. The output increases to
48,000 units. What will be the percentage change in
operating cash flow? (Do not round intermediate
calculations. Enter answer as a percent rounded to 2
decimal places.)
Transcribed Image Text:At an output level of 45,000 units, the degree of operating leverage is 4.2. The output increases to 48,000 units. What will be the percentage change in operating cash flow? (Do not round intermediate calculations. Enter answer as a percent rounded to 2 decimal places.)
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