Question: If a firm utilizes debt financing, a 1 0 % decline in eamingskefore interest and taxes ( EBIT ) will result in a decline in

If a firm utilizes debt financing, a 10% decline in eamingskefore interest and taxes (EBIT) will result in a decline in eamings per share that is larger than 10%, and the higher the debt ratio, the larger this difference will be.
True
False
If a firm utilizes debt financing, a 1 0 %

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