Multiple Choice
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
Correct Answer:

Verified
Correct Answer:
Verified
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