Discover the best answers at Westonci.ca, where experts share their insights and knowledge with you. Get immediate answers to your questions from a wide network of experienced professionals on our Q&A platform. Explore comprehensive solutions to your questions from knowledgeable professionals across various fields on our platform.


Which of the following companies has the lowest degree of leverage?

Sagot :

The firm with a 20% Debt and 80% Equity has the lowest degree of leverage.

What is a degree of leverage?

This means  how much a firm operating income changes in response to a change in sales.

Because the Firm C has a low debt, this means its has the lowest degree of leverage when compared to others.

Therefore, the Option C is correct.

Missing options "90% Debt, 10% Equity

30% Debt, 70% Equity

20% Debt, 80% Equity

50% Debt, 50% Equity"

Read more about degree of leverage

brainly.in/question/8720374

#SPJ1