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Which of the following is an example of positive financial leverage? a. Management uses the money borrowed from long-term debt to make investments that will
Which of the following is an example of positive financial leverage?
a. Management uses the money borrowed from long-term debt to make investments that will provide a return that exceeds the interest expenses.
b. The revenues of the business are enough to cover the expenses.
c. The cash inflows from a firms operating activities exceed the cash outflows from the financing activities.
d. The firms current assets exceed its current liabilities.
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