The degree of financial leverage of a firm is 2 and degree of its operating leverage is 4. Fixed cost is ₹60,000 and variable cost as a percentage of sales is 60. Applicable tax rate is 30%. Earnings after tax (EAT) of t
CS Executive · Financial and Strategic Management · PYQS · June 2022
The degree of financial leverage of a firm is 2 and degree of its operating leverage is 4. Fixed cost is ₹60,000 and variable cost as a percentage of sales is 60. Applicable tax rate is 30%. Earnings after tax (EAT) of the firm will be :
Answer & Explanation:
Correct Answer: Option (C)
Official answer key: (C).
Topics: Financial Management
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