Cove's Cakes is a local bakery. Price and cost information follows: Required: 1. Calculate Cove's new break-even point under each of the following independent scenarios: a. Sales price increases by $1.20 per cake. b. Fixed costs increase by $460 per month. c. Variable costs decrease by $0.38 per cake. d. Sales price decreases by $0.50 per cake. 2. Assume that Cove sold 420 cakes last month. Calculate the company's degree of operating leverage. 3. Using the degree of operating leverage, calculate the change in profit caused by a 6 percent increase in sales revenue. Complete this question by entering your answers in the tabs below. Calculate Cove's new break-even point under each of the following independent scenarios: Note: Round your answers to the nearest whole number. a. Sales price increases by $1.20 per cake. b. Fixed costs increase by $460 per month. c. Variable costs decrease by $0.38 per cake. d. Sales price decreases by $0.50 per cake
Other questions asked by students
General Management
1.2K views
Biology
1.2K views
Basic Math
1.2K views
Prestige Corporation holds cash of 6 000 and owes 31 000 on accounts payable Prestige...
Basic Math
1.2K views
What is the volume of a sphere with adiameter of 6.4 cm, rounded to the...
Algebra
1.2K views
Problem 2 Let p 8x 6x 3 Find the coordinate vector of p relative to...
Accounting
1.2K views
Accounting
1.2K views
Suponga los siguientes datos de ventas de una empresa: Ao actual $325 000 Ao anterior...
Accounting
1.2K views
Accounting
1.2K views
GH Company has been offered a seven-year contract to supply a part for the government....