If a Firm's DOL Is 3

question 32

Multiple Choice

If a firm's DOL is 3.6 with a profit of $2,000,000 and depreciation of $500,000,what are its other fixed costs?

• A) $5,250,000
• B) $4,700,000
• C) $5,520,000
• D) $5,800,000

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Definitions:

Alkene

Hydrocarbons containing at least one carbon-to-carbon double bond, part of the unsaturated compounds.

Hydrocarbon Molecule

An organic compound consisting entirely of hydrogen and carbon atoms.

Triple Bonds

Chemical bonds formed by the sharing of three pairs of electrons between two atoms, characteristic of alkynes in organic chemistry.

Methoxy

A functional group consisting of a methyl group bound to oxygen (-OCH3), commonly found in ethers.