Busıness Fınance I Deneme Sınavı Sorusu #843797

A cable corp. is producing fiber obtic cables. The firm records $2,500,000 EBIT and incurs $500,000 of interest expense. What is the degree of financial leverage this company?


1.05

1.15

1.25

1.30

1.45


Yanıt Açıklaması:

DFL=2,500,000/(2,500,000-500,000)=1.25

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