If Pretax Profits Decrease by 13

question 103

Multiple Choice

If pretax profits decrease by 13.8 percent when the DOL is 3.8, then the decrease in sales is:

• A)0.28 percent
• B)2.75 percent
• C)3.63 percent
• D)10.00 percent DOL =
• 3)8 =
• 3)8X = -13.8%
• X = 3.63%

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