update_file_1774_DOL, DFL, and DTL Questions for Kaplan BEC Study Manual

Update_file_1774_DOL, DFL, and DTL Questions for Kaplan BEC Study Manual

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Some Additional Practice Questions for BEC, Chapter 4 DOL, DFL, and DTL Questions for 2007/2008 Kaplan BEC Study Manual, Chapter 4, beginning with page 155: Use the following data to answer Questions 50 and 51. If Jayco’s sales increase by 10%, Jayco’s EBIT increases by 15%. If Jayco’s EBIT increases by 10%, Jayco’s EPS increases by 12%. 50. Jayco’s degree of operating leverage (DOL) and degree of financial leverage (DFL) are closest to: DOL DFL A. 1.8 1.2 B. 1.5 1.2 C. 1.8 1.4 D. 1.5 1.4 51. Jayco’s degree of total leverage (DTL) is closest to: A. 1.2. B. 1.7. C. 1.8. D. 2.7.
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Use the following data to answer Questions 52 and 53. Jayco, Inc. sells 10,000 units at a price of $5 per unit. Jayco’s fixed costs are $8,000, interest expense is $2,000, variable costs are $3 per unit, and EBIT is $12,000. 52. Jayco’s degree of operating leverage (DOL) and degree of financial leverage (DFL)
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Update_file_1774_DOL, DFL, and DTL Questions for Kaplan BEC Study Manual

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