Question: operating leverage measures a. the effect of variable costs on the repressiveness of the firm's earnings before interest and taxes to changes in the level

operating leverage measures

a. the effect of variable costs on the repressiveness of the firm's earnings before interest and taxes to changes in the level of sales.

b. the effect of shareholder value changes on the responsiveness of the firm's earnings before interest and taxes to changes in the level of gross income.

c. the effect or fixed operating costs on the responsiveness of the firm's earnings before interest and taxes to changes in the level of sales.

d. none of the above

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