Consider a four-year project with the following information: initial fixed asset investment = $530,000; straight-line depreciation to zero over the four-year life; zero salvage value; price = $24; variable costs = $14; fixed costs = $170,000; quantity sold = 83,000 units; tax rate = 30 percent.
What is the degree of operating leverage at the given level of output? (Do not round intermediate calculations. Round your answer to 4 decimal places, e.g., 32.1616.)
Degree of operating leverage:
What is the degree of operating leverage at the accounting break-even level of output? (Do not round intermediate calculations. Round your answer to 4 decimal places, e.g., 32.1616.)
Degree of operating leverage: