Q50539b The capital structure of X Ltd. consists of an equity share capital of Rs.4,00,000 @ Rs. 10 each and Rs. 4,00,000 7.5% Debentures. Sales increased by 20% from 40000 to 48000 units. The selling price is Rs.7.5 per unit. Variable cost is Rs. 4.5 per unit and fixed cost amount to Rs. 50,000. The corporate tax rate is 50%. You are required to compute the degree of operating leverage, degree of financial leverage and degree of combined leverage.
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