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Use the Following Information for Questions 63 Through 67

question 39

Multiple Choice

Use the following information for questions 63 through 67.
Financial statements for Kiner Company are given below: Use the following information for questions 63 through 67. Financial statements for Kiner Company are given below:   Total assets on the balance sheet at December 31, 2015 are $4,432,000. Accumulated deprecia-tion on the equipment sold was $224,000. -The book value of the buildings and equipment at December 31, 2015 was A)  $2,032,000. B)  $2,080,000. C)  $2,848,000. D)  $2,352,000. Total assets on the balance sheet at December 31, 2015 are $4,432,000. Accumulated deprecia-tion on the equipment sold was $224,000.
-The book value of the buildings and equipment at December 31, 2015 was

Acknowledge how financial leverage affects a firm's ROA and cost structure.
Understand the role of EBIT-EPS analysis in evaluating leverage decisions.
Learn about operating leverage and its consequences on a firm's risk profile.
Understand the implications of breakeven analysis in the context of financial leverage and operating risk.

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