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What was the percent change in EBIT for this firm? Using the information below, compute the firm's degree of financial leverage. DFL = % ANI
What was the percent change in EBIT for this firm?
Using the information below, compute the firm's degree of financial leverage. DFL = % ANI % A EBIT Year 1 Sales 30,000 Year 2 33,000 - 1,320 - 12,000 Variable Cost - 1,200 - 12,000 Fixed Cost EBIT 16,800 19,680 Interest Expense - 800 - 800 EBT 16,000 18,880 Taxes (15%) - 2,400 - 2,832 NI 13,600 16,048Step by Step Solution
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