A managerial lever to increase profitability is to decrease the salvage value of each unit.

Managerial Lever

Tools or mechanisms that managers can utilize to influence outcomes, adjust strategies, or steer organizational performance.

Salvage Value

An estimated resale value of an asset at the end of its useful life.

Profitability

The measure of a business's ability to generate earnings compared to its expenses and costs, determining its financial success and viability.