.Following information are related to four firms of the same industry.Degree of Operating Leverage for Firm A is*2 points0.121.230.931.33
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.Following information are related to four firms of the same industry.Degree of Operating Leverage for Firm A is*2 points0.121.230.931.33
1.Following information calculate degree of operating Leverage , % change in sales -27%, % change in EBIT -25%, % Change in EPS - 30 %*2 points0.931.230.123
Calculate the Degree of Operational Leverage for the following firm.*2 points4.005.004.785.78
Calculate the Degree of Financial Leverage for the following firm.*1 point2.312.512.452.67
Higher operating leverage is related to the use of additional __________.common equity financingdebt financingfixed costsvariable costs