LS2492: A simplified income statement of ABC is given below: ABC Income Statement for the year ended 31st March, 1998:

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Question: A simplified income statement of ABC is given below: ABC Income Statement for the year ended 31st March, 1998:

Calculate and interpret the following:

(i)Degree of operating leverage;

(ii)Degree of financial leverage;

(iii)Degree of combined leverage

 


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