Operating leverage if the contribution margin per unit is 52? The accounting manager of GranvilleResorts has noted that every time theresort's average occupancy rateincreases by 3.0 percent, the operatingcash flow increases by 6.5 percent. Whatis the degree of operating leverage if thecontribution margin per unit is $52?

Explanation of Degree of Operating Leverage (DOL):The Degree of Operating Leverage (DOL) measures…

Answered: The accounting manager of Granville…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter3: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 23MC: If a firm has a contribution margin of $78M90 and a net income of $13,700 for the current month,...

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AutoSave OFF 096DCEP… CB Draw Page Layout Home Insert X [ ✓ Paste B35 A Arial A 1 Chapter 5: Applying Excel 2 3 Data 4 Unit sales 5 Selling price per unit 6 Variable expenses per unit 7 Fixed expenses BIU - fx =B31/833 49 50 30 Variable expenses varable 31 Contribution margin 32 Fixed expenses 33 Net operating income 11 12 Compute the CM ratio and variable expense ratio 13 Selling price per unit 14 Variable expenses per unit 15 Contribution margin per unit 16 17 CM ratio 18 Variable expense ratio 19 20 Compute the break-even point 21 Break-even in unit sales 22 Break-even in dollar sales 23 24 Compute the margin of safety 25 Margin of safety in dollars 26 Margin of safety percentage 27 28 Compute the degree of operating leverage 29 Sales 34 35 Degree of operating leverage 36 37 38 39 40 41 42 43 44 45 46 47 48 Ready T 8 9 Enter a formula into each of the cells marked with a ? below 10 Review Problem: CVP Relationships Chapter 5 Form V esc ✓ 10 1 + LO Accessibility: Good to go @ 2…
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The accounting manager of Granville Resorts has noted that every time the resort's average occupancy rate increases by 3.0 percent, the operating cash flow increases by 6.5 percent. What is the degree of operating leverage if the contribution margin per unit is $52?