Question: All else being equal, this is true about a firm with high operating leverage relative to a firm with low operating leverage: Select one: A.

All else being equal, this is true about a firm with high operating leverage relative to a firm with low operating leverage:

Select one:

A. The high operating leverage firm has more debt.

B. The debt payments limit the high operating leverage firm's opportunities to turn a big profit.

C. A higher percentage of the high operating leverage firm's costs are fixed.

D. The high operating leverage firm is exposed to less risk.

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