BN had 5 degrees of operating leverage when its profit before taxes was P200,000. If the company’s sales increased by 15%, what is the company’s profit before taxes?

Financial Management: Theory & Practice
16th Edition
ISBN:9781337909730
Author:Brigham
Publisher:Brigham
Chapter7: Corporate Valuation And Stock Valuation
Section: Chapter Questions
Problem 1P: Ogier Incorporated currently has $800 million in sales, which are projected to grow by 10% in Year 1...
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BN had 5 degrees of operating leverage when its profit before taxes was P200,000. If the company’s sales increased by 15%, what is the company’s profit before taxes?

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