Given Texas's Growing Population, One Possible Outcome of the Census

question 30

Multiple Choice

Given Texas's growing population, one possible outcome of the census is that Texas will

• A) not have to reapportion.
• B) gain additional congressional seats.
• C) gain a new seat on the Texas Supreme Court.
• D) lose congressional seats.

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Definitions:

DFL

Degree of Financial Leverage; a ratio that measures the sensitivity of a company's earnings per share to fluctuations in its operating income, based on its capital structure.

EBIT

EBIT stands for Earnings Before Interest and Taxes, a measure of a firm’s profitability that excludes interest and income tax expenses.

EPS

Earnings Per Share, a company's profit divided by the number of its common shares outstanding, indicating the company's profitability.

EBIT-EPS Line

A graphical representation showing the impact of financial leverage on a company's earnings per share at various levels of earnings before interest and taxes.