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Calculate the new: Degree of Operating Leverage (DOL).

JMC Corp. sells 500,000 bottles of its herbal soda drinks per year. Each bottle produced is sold for $0.45 and has a variable cost of $0.25. The fixed operating costs for the firm are $50,000. The corporate tax for the firm is 40%. Requirements: Calculate Business Risk Calculate the Operating Leverage or Degree of Operating […]

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