The degree of financial leverage is defined as _____.?
A. ?the percentage change in EBIT that results from a given percentage change in sales
B. ?the percentage change in sales that results from a given percentage change in EPS
C. ?the percentage change in EPS that results from a given percentage change in sales
D. ?the percentage change in EPS that results from a given percentage change in EBIT
E. ?the percentage change in sales that results from a given percentage change in EBIT
Answer: D
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The entry to replenish the petty cash fund for $250 of various minor expenses would include a
A) debit to Petty Cash for $250. B) debit to Cash for $250. C) credit to Petty Cash for $250. D) credit to Cash for $250.
Thomas and James, a law firm, has support staff for its attorneys. The two attorneys work a total of 2,00 . hours each and make $80,00 . each per year. The total support budget is $200,000 . of which $160,00 . is professional support, and $40,00 . is general office overhead. A job requiring 50 professional hours should be billed how much for overhead if a simplified costing approach is used and
labor cost is the cost driver? a. $625 b. $2,000 c. $2,500 d. $1,000
In a single-period system, if too much is ordered but not sold, the company may have to ______.
a. sell the excess at a discounted price b. open new distribution centers c. identify new markets d. give it away to its employees
Most transactions in the interbank foreign exchange trading are primarily conducted via telecommunication techniques and little is conducted face-to-face
Indicate whether the statement is true or false.