The Degree of Combined Leverage Is Equal to the ____

question 41

Multiple Choice

The degree of combined leverage is equal to the ____ multiplied by the ____.

• A) degree of operating leverage; variable cost ratio
• B) degree of financial leverage; variable cost ratio
• C) degree of operating leverage; degree of financial leverage
• D) degree of operating leverage; fixed cost ratio

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Definitions:

IPA

An acronym that can refer to Independent Practice Associations, which are legal entities organized and owned by a network of independent physicians for the purpose of reducing overhead or contracting with health insurers.

HMO

A health maintenance organization; a type of health insurance plan that usually limits coverage to care from doctors who work for or contract with the HMO.

PPO

Preferred Provider Organization, a health insurance plan that offers a network of healthcare providers to choose from, typically at a lower cost.

Provider's Fee

The charge or cost set by a service provider, such as a doctor or a lawyer, for professional services rendered.