Question: solve the problem 2 2) What would be the effect of each of the following actions on a firm's operating, financial breakeven and leverages? Use

solve the problem 2

2) What would be the effect of each of the following actions on a firm's operating, financial breakeven and leverages? Use (+) for an increase, (-) for a decrease, (O) for indeterminate or no effect. Operating Operating Financial Financial Breakeven Leverage Breakeven Leverage Converting bonds into common stocks Issuing new preferred stock Issuing new common stock Issuing new bonds An increase in salaries Repayment of some long term notes An increase in fixed operating costs A decrease in variable operating costs A decrease in sale prices

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