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RL Corp. sells its finished product for an average of $35 per unit with a variable cost per unit of $21. The company has fixed operating costs of $1,050,000.

a) find out the firm's operating breakeven point in units.
b) find out the firm's operating breakeven in dollars.
c) Using 100,000 units as a base, what is the firm's degree of operating leverage?

 

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