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Author Question: Which of the following statements about operating leverage is true? A) Operating leverage is the ... (Read 95 times)

Garrulous

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Which of the following statements about operating leverage is true?
 
  A) Operating leverage is the responsiveness of the firm's EBIT to fluctuations in sales.
  B) Operating leverage involves the usage of fixed cost financial securities in the operation of a
  business.
  C) Operating leverage is the responsiveness of the firm's EPS to fluctuations in sales.
  D) Operating leverage reduces a firm's risk.

Question 2

Permanent sources of financing include all but
 
  A) preferred stock. B) commercial paper.
  C) common stock. D) corporate bonds.


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zacnyjessica

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Garrulous

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Reply 2 on: Jul 10, 2018
YES! Correct, THANKS for helping me on my review


skipfourms123

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Reply 3 on: Yesterday
Great answer, keep it coming :)

 

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