1.A firm has a sales of 2000000/-at variable cost
1400000/-and fixed cost of 400000/-
Debentures as per the capital structure 1000000/-
Interest to be paid-10%
Calculate various leverages
2. Calculate financial leverage,operating leverage and
combined leverage.
Sales-100000 units(2 Rs per unit)
Variable cost-0.70 paise per unit
Fixed cost-100,000
Interest charges -Rs 4000
3.A firm has a sales of Rs 5000000,var cost-2000000,
fixed cost-1000000,tax rate-50%,10% debentures-
1000000
Calculate operating leverage,financial leverage and
combined leverage.

Leverage problems

  • 1.
    1.A firm hasa sales of 2000000/-at variable cost 1400000/-and fixed cost of 400000/- Debentures as per the capital structure 1000000/- Interest to be paid-10% Calculate various leverages 2. Calculate financial leverage,operating leverage and combined leverage. Sales-100000 units(2 Rs per unit) Variable cost-0.70 paise per unit Fixed cost-100,000 Interest charges -Rs 4000 3.A firm has a sales of Rs 5000000,var cost-2000000, fixed cost-1000000,tax rate-50%,10% debentures- 1000000 Calculate operating leverage,financial leverage and combined leverage.