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A 1 Fixed Costs 2 EBIT 3 Earnings Before Tax 4 Price per Unit 5 Variable Cost per Unit 6 Tax Rate 7 Preferred Dividends

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A 1 Fixed Costs 2 EBIT 3 Earnings Before Tax 4 Price per Unit 5 Variable Cost per Unit 6 Tax Rate 7 Preferred Dividends 8 Degree of Financial Leverage What should be the formula in B8? B 800,000 2,000,000 1,300,000 $65 $35 30% 90,000 1.71 Select one: a. =B3/(B2-B7/(1-B6)) O b. =B2/B3-B7/(1-B6) Oc=B2/(B3-B7/(1+B6)) Od =B1/(B2-B7/(1-B6)) e. =B2/(B3-B7/(1-B6))

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