If EBIT Equals $200,000 and Interest Equals $40,000, What Is

question 6

Multiple Choice

If EBIT equals $200,000 and interest equals $40,000, what is the degree of financial leverage?

• A) 5.33x
• B) 1.25x
• C) 0.8125x
• D) 4.33x

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Definitions:

Copy And Paste

The action of duplicating information or data from one location to another with the help of computer commands or tools.

Cut And Paste

A basic computer function allowing the user to select, copy, and insert or move text or data from one place to another.

Group

A collection of users, devices, or objects united by a common attribute, used for organizing, managing, or targeting purposes within systems or applications.

Combine Shapes

A feature in graphics software that allows the user to merge two or more shapes into one complex shape.