Multiple Choice
Porter Productions sells video tapes for $15.00 each. Their variable cost per unit is $9.00. In addition, they incur $180,000 in fixed costs each year. At 40,000 units of sale, what is Porter's degree of operating leverage (DOL) ?
A) 1.33
B) 2.50
C) 3.00
D) 4.00
E) 6.00
Correct Answer:
Verified
Correct Answer:
Verified
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