Question
Leverage Ltd has the following budgeted information: Fixed costs (FC) R12 000 000 per annum, Variable cost (VC) R350 per unit, Selling price (S)
Leverage Ltd has the following budgeted information: Fixed costs (FC) R12 000 000 per annum, Variable cost (VC) R350 per unit, Selling price (S) R950 per unit Expected demand 35 000 units (minimum), Interest R500 000 From the above scenario the Degree of Financial Leverage is: Select one: A. 1.033 B. 1.258 C. 1.233 D. 1.058 E. 1.275
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Financial and Managerial Accounting
Authors: Horngren, Harrison, Oliver
3rd Edition
978-0132497992, 132913771, 132497972, 132497999, 9780132913775, 978-0132497978
