Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on Sep 20, 2024

5. A firm has a sales of Rs. 60,00,000, variable cost is 20% on sales, fixed cost is Rs. 20,50.000 and debentures of Rs. 8.00.000

image text in transcribed

5. A firm has a sales of Rs. 60,00,000, variable cost is 20% on sales, fixed cost is Rs. 20,50.000 and debentures of Rs. 8.00.000 at 10% rate of interest. Calculate Operating leverage, financial leverage and combined leverage

Step by Step Solution

There are 3 Steps involved in it

Step: 1

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

Step: 3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Franchise Handbook A Complete Guide To All Aspects Of Buying Selling Or Investing In A Franchise

Authors: Atlantic Publishing Co

1st Edition

0910627541, 978-0910627542

More Books

Students also viewed these Finance questions

Question

★★★★★

A list of accounts for Montgomery, Inc., appears below. Accounts Payable Accounts Receivable Bonds Payable Building Cash Common Stock Cost of Goods Sold Depreciation Expense Income Taxes Payable...

Answered: 1 week ago

Question

★★★★★

Come up with a list of 20 virtues not mentioned in Section 2.10.

Answered: 1 week ago

Question

★★★★★

Fossils are often dated using the differential equation dA dt = A, where A is the amount of radioactive substance remaining, is a constant, and t is measured in years. Assuming that = 1.5107,...

Answered: 1 week ago

Question

★★★★★

Isabel Lopez started Biz Consulting, a new business, and completed the following transactions during its first year of operations. a. I. Lopez invests $70,000 cash and office equipment valued at...

Answered: 1 week ago

Question

★★★★★

Consider a European call option and a European put option on a non-dividend-paying stock. You are given: Current price of the stock is $60: Call option premium is $0. 15 more than put option premium:...

Answered: 1 week ago

Question

★★★★★

Source, Inc. purchased a 18% interest in Facade Corporation on January 2, 2XX0. The purchase price was $240,000. Source's officers constitute a majority of Facade Corporation's board of directors....

Answered: 1 week ago

Question

★★★★★

Per the TAR Purchase and Sales Agreement, there is a period of time after the inspection period in which the parties can agree to any repairs. What is this period of time referred to as? Unset...

Answered: 1 week ago

Question

★★★★★

Researchers are interested in whether there is a difference between the number of brothers and number of sisters for graduate students. So they randomly selected 20 graduate students and asked each...

Answered: 1 week ago

Question

★★★★★

how would you compare the results between the lease assets vs total assets and the lease liabilities vs total liabilities visualization? finance lease assets are higher than finane lease liabilities...

Answered: 1 week ago

Question

★★★★★

You are an accounting associate assisting a compliance officer of a large private company. The compliance officer recently investigated concerns about accounting irregularities in journal entries...

Answered: 1 week ago

Question

★★★★★

A Pharmacy has four counter to serve Blood pressure test for customer. Customers arrive according to a Poisson distribution at the rate of 1 every 10 minutes. However, only 85% seek service at the...

Answered: 1 week ago

Question

★★★★★

(Appendices) SALES RETURNS. Swan and Bloom, Inc., is a wholesaler of novelty items to small stores. All sales are on credit with no discount offered. During March, Swan and Bloom accepted the...

Answered: 1 week ago

Question

★★★★★

(Appendices) ACCOUNTS RECEIVABLE TURNOVER. A recent annual report for Gerber Products Company shows credit sales for the year of approximately $1,269 million and average accounts receivable of...

Answered: 1 week ago

Question

★★★★★

(Appendices) FINANCIAL ANALYSIS OF RECEIVABLES. A chain of retail stores located in Kansas and Nebraska has requested a loan from First Chicago. The balance sheet of the retail chain shows...

Answered: 1 week ago

Previous Question Next Question