Ensure the security of your HCL environment by applying the Zero Trust princi...
Leverage problems
1. 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.