Total leverage measures the effect of fixed costs on the relationship between ________.
A) sales and EBIT
B) sales and EPS
C) EBIT and EPS
D) EBIT and dividend

Name: Total leverage measures the effect of fixed costs on the relationship between ________. A) sales and EBIT B) sales and EPS C) EBIT and EPS D) EBIT and dividend
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Question

Quizplus · Accepted Answer

Total leverage measures the effect of fixed costs on the relationship between sales and EPS, as it considers both operating and financial leverage.

Total Leverage Measures the Effect of Fixed Costs on the Relationship