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helllllpppp need an answer not guideline Analyzing financial leverage ratio and Companys operating leverage ratio for the 4 years writing example: If Fixed Cost will
helllllpppp need an answer not guideline
Analyzing financial leverage ratio and Companys operating leverage ratio for the 4 years writing
example: If Fixed Cost will decrease or Financial leverage will increate etc..
Financial Leverage ratio= Total Debt/Shareholders Equity Particulars 31.12.20 31.12.19 31.12.18 31.12.17 (A) Current Liabilities 2,43,211.00 2,15,571.00 1,84,436.00 1,49,050.00 (B) Non Current Liabilities 5,69,956.00 2,32,320.00 1,34,021.00 1,27,189.00 Total Debt (A+B) 8,13,167.00 4,47,891.00 3,18,457.00 2,76,239.00 Shareholders Equity 9,90,848.00 10,35,065.00 10,16,782.00 8,13,758.00 Financial Leverage 0.82 0.43 0.31 0.34 Operating Leverage ratio=Revenue-Variable Cost/Revenue - Variable Cost - Fixed Cost Particulars 31.12.20 31.12.19 31.12.18 31.12.17 Net Income 37,24,24,000.00 66,67,41,000.00 79,78,96,000.00 58,14,38,000.00 Variable Cost Prepaid Expense 85,93,000.00 99,51,000.00 11,17,000.00 32,04,000.00 Other Operating Activity 17,65,54,000.00 29.65,53,000.00 37,76,04,000.00 25,49,83,000.00 Total Variable Cost 18,51,47,000.00 30,65,04,000.00 37,87,21,000.00 25,81,87,000.00 Fixed Cost Depreciation 7,62,08,000.00 5,02,66,000.00 4,13,34,000.00 3,68,94,000.00 (A) Revenue - Variable Cost 18,72,77,000.00 36,02,37,000.00 41,91,75,000.00 32,32,51,000.00 (B) Revenue - Variable Cost-Fixed Cost 11,10,69,000.00 11,10,69,000.00 11,10,69,000.00 11,10,69,000.00 Operating Leverage (A/B) 1.69 3.24 3.77 2.91Step by Step Solution
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