X Ltd., a leather manufacturing company, has a Sales turnover of ₹40 Lakh for the year ended 31/03/2021. Its variable cost for the year was ₹20 Lakh and fixed cost was ₹5 lakh. It issued debentures worth ₹10 Lakh on 01/1
CS Executive · Financial and Strategic Management · PYQS · June 2022
X Ltd., a leather manufacturing company, has a Sales turnover of ₹40 Lakh for the year ended 31/03/2021. Its variable cost for the year was ₹20 Lakh and fixed cost was ₹5 lakh. It issued debentures worth ₹10 Lakh on 01/10/2020 carrying an interest rate of 8% p.a. The financial leverage of the company will be :
Answer & Explanation:
Correct Answer: Option (C)
Official answer key: (C).
Topics: Financial Management
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