Question: Can someone write down the explanation for this, possible answers are given, thanks Calculating operating leverage. Marvelous Corporation has a degree of cash flow operating

Can someone write down the explanation for this, possible answers are given, thanks

Calculating operating leverage. Marvelous Corporation has a degree of cash flow operating leverage equal to 1.25. If the firm's EBITDA was $1,000 last year while its depreciation and amortization expense was $50 in the same year, then what was the firm's degree of accounting operating leverage?

1.26

1.35

1.30

1.32

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!