What will be the change in the degree of total leverage

Assignment Help Accounting Basics
Reference no: EM132586637

Question 1: If the degree of operating leverage of a company is increased by 30% while the degree of financial leverage is decreased by 20%. What will be the change in the degree of total leverage?

a) 2% increase
b) 3% increase
c) 4% increase
d) 2% decrease

Reference no: EM132586637

Questions Cloud

Find the equilibrium price and quantity : The demand and supply schedules for hats are above. a) Plot both in a graph. b) Find the equilibrium price and quantity.
Find the cost of its equity according to gordon dividend : Find the cost of its equity according to Gordon dividend capitalization model is? If the firm reinvests its retained earnings at the rate of 14%.
What is the average product of labor : What is the average product of labor when five laborers are employed?
Multifactor productivity from the subject drop-down menu : Use www.bls.gov under Multifactor Productivity from the Subject drop-down menu.
What will be the change in the degree of total leverage : Leverage of a company is increased by 30% while the degree of financial leverage is decreased by 20%. What will be the change in the degree of total leverage?
Understanding of the price elasticity of demand : Why is an understanding of the price elasticity of demand important for a firm like Apple when launching a new product?
What do you think happens to both producer : What do you think happens to both producer and consumer surplus once pubs and restaurants are allowed to reopen under social
How high is the pole above the point : To determine the height of a flagpole, Abby throws a ball straight up and times it. How high is the pole above the point
Break even price for a perfectly competitive firm : What's the short run break even price for a perfectly competitive firm

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd