Operating leverage has the effect of triggering:
A) a larger percentage change in EBIT when a given percentage change in sales occurs.
B) a smaller given percentage change in EBIT when a smaller percentage change in sales occurs.
C) a smaller percentage change in EBIT when a given percentage change in sales occurs.
D) a smaller given percentage change in EBIT when a larger percentage change in sales occurs.
Correct Answer:
Verified
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