A DFL (Degree of Financial Leverage)of 3

question 83

Multiple Choice

A DFL (degree of financial leverage) of 3.0 indicates that a 27% increase in EPS is the result of a(n) ____ increase in EBIT.

• A)81%
• B)3%
• C)9%
• D)6%

---

Definitions:

Reflex Hammer

A medical tool used by healthcare professionals to test deep tendon reflexes to check for abnormalities of the nervous system.

Neurological System

The part of an organism that coordinates its actions by transmitting signals to and from different parts of its body, encompassing the brain and spinal cord.

Tendons

Tough, fibrous connective tissues that connect muscles to bones, enabling movement.

Digital Examination

Part of a physical examination in which the physician inserts one or two fingers of one hand into the opening of a body canal such as the vagina or the rectum; used to palpate canal and related structures.