Operating leverage exists when: Multiple Choice management buys enough of the company’s shares of stock to take control of the corporation.
What is operating leverage?
Operating leverage exists when:
- Management acquires a sufficient number of the company’s shares to take control of the corporation.
- A company uses debt to finance its assets.
- Small percentage changes in revenue lead to large percentage changes in profit.
- The organization makes purchases on credit instead of paying in cash.
Select the correct option.
4 Answers
Feb 22, 2025
Related Questions
What does CSS stand for: Cybernet Slash Support or Cybernet Software Systems? I came across a company located in T. Naga...
Does Wells Fargo Bank open on Sundays in Bakersfield, California, specifically at the intersection of White Lane and Gos...
Please find below the present and future values for different interest rates. Compounding and discounting occur annually...
I’m trying to make my car payment online, and it’s asking for a bank account nickname. What does that mean, and what sho...
What is the reason that all shareholders tend to agree on a common goal for the financial manager?
According to the United States Business Administration, which section is considered the most crucial part of a strategi...
Promotional expenditures during the introduction stage of the product life cycle are best allocated to: A) maintaining b...
Presented below are selected account balances for Homer Winslow Co. as of December 31, 2014. Instructions: Prepare the...
On December 31, Fighting Okra Cooking Services reported the following revenues and expenses.
Before deciding whether to use the cost-plus model, it is crucial to thoroughly research the following factors: a. profi...