Question: Which statement about financial leverage is true? Using more debt in the capital structure will always lead to higher EPS for a given level of

Which statement about financial leverage is true? Using more debt in the capital structure will always lead to higher EPS for a given level of EBIT. If a firm uses debt in its capital structure, ROE is greater than ROA. If EBIT is below the break-even point, using more debt in the capital structure will lead to higher EPS for a given level of EBIT. If EBIT is above the break-even point, using more debt in the capital structure will lead to lower EPS for a given level of EBIT. None are true

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