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A firm has earnings per share of $2.60 at a sales level of $5 million. If the firm has adegree of operating leverage of 3.0 and a degree of financial leverage of 5.5 (both at asales level of $5 million), forecast earnings per share for a 2 percent sales decline.
ch14-8. A firm has earnings per share of $2.60 at a sales level of $5 million. If the firm has a degree of operating leverage of 3.0 and a degree of financial leverage of 5.5(both at a sales level…
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