Examlex
Which of the following statements is not true?
Total Leverage
The combined effect of using both operating leverage and financial leverage on a company's earnings before interest and taxes (EBIT).
Variable Cost Ratio
The proportion of variable costs to sales or production output, indicating how variable costs change with changes in output.
Operating Costs
Expenses associated with the day-to-day functioning of a business, such as rent, utilities, and salaries, but excluding costs related to production.
ROE
Return on Equity (ROE) is a measure of a corporation's profitability that reveals how much profit a company generates with the money shareholders have invested.
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