During your companys latest earnings call, the CEO mentions she is pleased with the companys execution which

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During your company’s latest earnings call, the CEO mentions she is pleased with the company’s execution which resulted in positive operating leverage. What does she mean?

a). The company has been able to secure more debt (leverage) to expand its operations.

b). The company has leveraged its operations to drive profit growth faster than revenue growth.

c). Operating income is growing faster than net income.

d). Revenue growth is driving growth in operating cash flow allowing the company to de-lever its balance sheet by paying back debt.

Related Book For answer-question

Financial Accounting Information For Decisions

ISBN: 978-0324672701

6th Edition

Authors: Robert w Ingram, Thomas L Albright

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Posted Date: Sep 05, 2020 11:15 PM

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During your companys latest earnings call, the CEO mentions she is pleased with the companys execution which

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Answer aThe company has been able to secure more debt leverage to expand it... View the full answer

Financial Accounting Information For Decisions

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