At an output level of 78,000 units, you calculate that the degree of operating leverage is 3.8. The output lowers to 71,000 units. What will the percentage change in operating cash flow be? (Do not round intermediate calculations. Enter answer as a percent rounded to 2 decimal places.)

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Can you please solve this accounting problem without use Ai?

At an output level of 78,000 units, you calculate that
the degree of operating leverage is 3.8. The output
lowers to 71,000 units.
What will the percentage change in operating cash
flow be? (Do not round intermediate calculations.
Enter answer as a percent rounded to 2 decimal
places.)
Transcribed Image Text:At an output level of 78,000 units, you calculate that the degree of operating leverage is 3.8. The output lowers to 71,000 units. What will the percentage change in operating cash flow be? (Do not round intermediate calculations. Enter answer as a percent rounded to 2 decimal places.)
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