Question
5. Aptar has annual sales of $5 million, fixed costs of $1 million, a variable cost rate of 60%, full capital of $4 million,
5. Aptar has annual sales of $5 million, fixed costs of $1 million, a variable cost rate of 60%, full capital of $4 million, a debt ratio of 40% and an average interest rate on debt of 15%. Please answer: What is the operating leverage factor, the financial leverage factor and the joint leverage factor. If Aptar's sales are estimated to increase by 10% over the forecast period, what is the growth in EBITDA and earnings per share.
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The operating leverage factor is the ratio of total contribution margin to EBITDA which is calculated by dividing the total contribution margin by EBI...Get Instant Access to Expert-Tailored Solutions
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Economics Principles and Policy
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