Which of the following mathematical expressions is used to calculate the degree of accounting operating leverage?
A) 1 + (FC / EBITDA)
B) 1 + (FC / EBIT)
C) 1 + [(FC + Depreciation and Amortization) / EBITDA]
D) 1 + [(FC + Depreciation and Amortization) / EBIT]
Correct Answer:
Verified
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