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The two years data of 2019 & 2020 for Deepak Inc., operating in the textile industry is reported below. Analyse and comment on the
The two years data of 2019 & 2020 for Deepak Inc., operating in the textile industry is reported below. Analyse and comment on the following- a) Estimate the operating and financial risk of the company that is exposed to and analyse the results b) If the EPS for the next is expected to be increased by 30%, what is expected to be its impact on operating profit and sales of the firm? Sales VC FC Interest Tax rate No of shares (No) Rs (Million) 60% of sales 2019 15000 1000 3000 35% Rs (Million) 60% of sales 200 2020 7000 1000 3000 35% 200
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1 To estimate the operating risk we can use the operating leverage formula Operating Leverage change ...
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Financial Reporting Financial Statement Analysis And Valuation A Strategic Perspective
Authors: James M. Wahlen, Stephen P. Baginski, Mark Bradshaw
8th Edition
1285190904, 978-1305176348, 1305176340, 978-1285190907
