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The table below presents the Degrees of Operating Leverage (DOL) and the Degrees of Financial Leverage (DFL) of Firm A and Firm B. DOL DFL

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The table below presents the Degrees of Operating Leverage (DOL) and the Degrees of Financial Leverage (DFL) of Firm A and Firm B. DOL DFL Fimm A 1.5 3.0 Firm B 2.0 2.5 Which of the following statements is NOT true according to the information provided in the table? If the Sales of Firm A increase by 10%, its EBIT will increase by 15%. if the Sales of Firm A increase by 10%, its EPs will increase by 30% If the EBIT of Firm Bincreases by 10%. its EPS will increase by 25%. If the Sales of Firm B increase by 10%, Its EPS will increase by 50%

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