Calculate the leverage effect for each year. What are your conclusions? Millions of 1 2 3
Question:
Calculate the leverage effect for each year. What are your conclusions?
Millions of € 1 2 3 4 5 Shareholders' equity 100 115 320 300 240 Long- and medium-term debt 123 180 540 640 680 Financial expense before tax 11 18.5 29 63 83 Net income 14 16 (20) (60) (40)
Tax rate 35%
35%
35%
35%
35%
AppendixLO1
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Kirti Kaushal
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Related Book For 
Corporate Finance Theory And Practice
ISBN: 9781119841623
6th Edition
Authors: Pascal Quiry, Yann Le Fur, Pierre Vernimmen
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