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The Quick Company Expects Its Sales to Increase by 50

Question 3

Multiple Choice

The Quick Company expects its sales to increase by 50% in the coming year.The firm's current EPS is $3.25.Its degree of operating leverage is 1.6,while its degree of financial leverage is 2.1.What is the firm's projected EPS for the coming year using the DTL approach?


A) $7.47
B) $7.86
C) $8.27
D) $8.71
E) $9.15

Correct Answer:

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