Zekrom Corporation recorded the following information last year: Sales of ₱450,000; Net operating income of ₱25,000, and Degree of operating leverage of 5. If sales are expected to be ₱540,000 next year, assuming no change in cost structure, this means that net operating income for next year should be ₱___________.

Zekrom Corporation recorded the following information last year: Sales of ₱450,000; Net operating income of ₱25,000, and Degree of operating leverage of 5. If sales are expected to be ₱540,000 next year, assuming no change in cost structure, this means that net operating income for next year should be ₱___________.

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter9: Capital Budgeting And Cash Flow Analysis

Section: Chapter Questions

Problem 20P

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