The Percentage Change in Earnings Per Share (EPS) That Results

question 38

Multiple Choice

The percentage change in earnings per share (EPS) that results from a given percentage change in sales is known as the _____.

• A) degree of financial leverage
• B) degree of operating leverage
• C) degree of working capital leverage
• D) degree of current asset leverage
• E) degree of total leverage

---

Definitions:

All Saints Day

A Christian holiday observed on November 1st, dedicated to honoring saints and martyrs of the Christian faith, celebrated with various customs around the world.

Divergent Evolution

The process by which two or more related but reproductively isolated populations become more dissimilar in response to differing environmental pressures.

Species

A group of living organisms consisting of similar individuals capable of exchanging genes or interbreeding.

Assassin Bug

A type of insect known for its predatory behavior, using a piercing mouthpart to inject lethal saliva into its prey.