Which of the following is concerned with the change in operating profit as a result of a change in volume?
A)Financial leverage
B)Break-even point
C)Operating leverage
D)Combined leverage

Question

Quizplus · Accepted Answer

Operating leverage is concerned with the change in operating profit as a result of a change in volume. Financial leverage involves the use of debt to increase potential returns, while break-even point is the level of sales where total revenue equals total costs. Combined leverage is a combination of operating and financial leverage.

Which of the Following Is Concerned with the Change in Operating