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Which one of the following statements is CORRECT? a.DTL of 3 indicates that for an increase in sales by 100%, EPS will increase by 300%
Which one of the following statements is CORRECT?
a.DTL of 3 indicates that for an increase in sales by 100%, EPS will increase by 300%
b.A higher degree of financial leverage (DFL) implies that lower risk is associated with the firm's financial mix.
c.DFL of 2 indicates that for an increase in EBIT by 100%, NI will increase by 200%
d.DOL of 2 indicates that for an increase in sales by 200%, EBIT will increase by 100%
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