Question: A firm with low operating leverage has: a. low amounts of variable cost in their production process. b. high amounts of fixed cost in their
A firm with low operating leverage has:
a.
low amounts of variable cost in their production process.
b.
high amounts of fixed cost in their production process.
c.
overall less fixed costs and more variable costs in their cost structure.
d.
overall higher fixed operating costs and lower interest expenses.
e.
high amounts of interest expenses in their income statement.
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