Question

if financial leverage is 1.32, then by what percentage will taxable income increase if EBIT increase by 6% ?

Answer 1

Answer:

combine levarge operating Levarge 2 .5=1.25 fincial pevars 2.5 =1.25

Explanation:

EBIT EBT

=EBt +Intrest

EBT + 100,000EBT

therefore EBIT = EBT +100,000

100,000+100,000 =200,000

Answer 2

Answer:

7.92℅ is correct answer