Synthgration Has a Degree of Pretax Cash Flow Operating Leverage

question 61

Multiple Choice

Synthgration has a degree of pretax cash flow operating leverage equal to 1.266. If the firm's EBITDA was $1,500 last year while its depreciation and amortization expense was $100 in the same year, then what was the firm's degree of accounting operating leverage?

• A) 1.29
• B) 1.33
• C) 1.36
• D) 1.39

Understand the impact of group dynamics on team effectiveness and performance.

Identify factors that contribute to successful teamwork and those that challenge it.

Recognize strategies for enhancing team performance and managing team challenges.

Understand the importance of task interdependence in team effectiveness.

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Definitions:

Investment

The act of distributing funds or resources with the aim of earning an income or profit.

GDP Deflator

A financial indicator that adjusts the value of output calculated at present prices to constant-dollar GDP, to correct for inflation effects.

Real GDP

The measure of a country's economic output adjusted for price changes (inflation or deflation), providing a more accurate reflection of an economy's size and how it's growing over time.

GDP Deflator

An indicator showing the price levels for all newly created, final goods and services produced within a country's borders.