Question: Exercise & Calculate operating leverage and financial leverage under situations A, B and C and financial plans 1, 2 and 3 respectively from the following

Exercise & Calculate operating leverage and

Exercise & Calculate operating leverage and financial leverage under situations A, B and C and financial plans 1, 2 and 3 respectively from the following information relating to the operating and financial leverage which give the highest value and the least value. 1,200 800 20 15 10 Installed capacity (unas) Actual production and sales (units) Soling price por una (Rs) Variable cost per unit (Rs.) Fued costs (Rs.) Stuation A Situation Situation C 1,000 2,000 3,000 Financial Plan 3 Capital Structura 2 1 Rs 2.500 Rs. 7,500 Rs. 5,000 Rs 5,000 Rs. 7,500 Rs. 2.500 12 per cent Equity Debt Cost of dobt (for all plans) Lin Address

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