Which of the Following Statements Is CORRECT? as a Firm

Multiple Choice

Which of the following statements is CORRECT? As a firm increases the operating leverage used to produce a given quantity of output,this

A) normally leads to an increase in its fixed assets turnover ratio.
B) normally leads to a decrease in its business risk.
C) normally leads to a decrease in the standard deviation of its expected EBIT.
D) normally leads to a decrease in the variability of its expected EPS.
E) normally leads to a reduction in its fixed assets turnover ratio.