Question

There are 2 companies ABC Ltd. & XYZ Ltd./ Each co has a total investment
of Rs. 50 Lakh. ABC Ltd. has entire capital in the form of cq, shares and XYZ
Ltd. has 70% of its capital in equity shares with debenture farming the balance
of 30%. Rate of interest on debentures is 10% p.a. Both companies earned a
profit of Rs. 10 Lakh in the previous year. Tax rate is 15% on profit. Face
value of each eq. share is Rs. 10.
Show trading on equity & Return on investment analysis.​

Answer 1

Answer:

Finance functions are all related to overall management of an organization . it is ... responsibility of a company to have financial discipline. ... What is the operating leverage when XYZ ltd