Quiz Ch 10 – Doubling Fixed Costs with Unchanged Operating Leverage

Fundamentals of Corporate Finance

Brealey, Myers, and Marcus

10th Edition

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What might be the reason for this change if a firm doubled its fixed costs while maintaining its operating leverage?

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  • Search Terms: a) a also and be but change. c) costs declined decreased. depreciation did doubled doubled. d) expense explanation firm fixed if increase. b) increased its level leverage, maintained may not of offset one operating pretax profits proportion revenue revenues sales that: the then to variable
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