A. 114% B. 130% C. 203% D. 238% 6 Snickerdoodle Co. has EBIT of $50,000 and total financing (interest) cost of $14,000. Snickerdoodle's Degree of Financial Leverage (DFL) is closest to: A. 215% B. 139% C. 109% D. 123% 7 Riley Co. has a DOL of 140% and a DFL of 113%. If sales decrease by 12%, what is the expected percentage change in net income? A. Net income will decrease by 19%. B. Net income will decrease by 25%. C. Net income will stay the same. D. Net income will increase by 25%. 8 Mary buys a gift card from Chipotle. How early can Chipotle recognize the revenue from Mary's transaction? A. Immediately upon purchase of the gift card. B. When the gift card is redeemed by the customer. C. Only after the gift card expires. D. Ratably over time, regardless of when the gift card is redeemed by the customer