At a price of $48, the estimated monthly sales of a product are 18,000 units Variable costs include

At a price of $48, the estimated monthly sales of a product are 18,000 units Variable costs include manufacturing costs of $27 and distribution costs of $9 Fixed costs are $60,000 per month

with a tax rate of 40%

determine the degree of operating leverage if it is expected that sales will drop by 5% how would operating income change determine the units that must be sold to ear a before tax profit of $48,000