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    Foundations of Finance
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    Exam 12: Determining the Financing Mix
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    Financial Leverage Is Distinct from Operating Leverage Since It Accounts
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Financial Leverage Is Distinct from Operating Leverage Since It Accounts

Question 135

Question 135

Multiple Choice

Financial leverage is distinct from operating leverage since it accounts for


A) use of debt and preferred stock.
B) variability in fixed operating costs.
C) variability in sales.
D) changes in EBIT.

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