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The Degree of Financial Leverage (DFL)

This question belongs to Commerce Financial Management
Financial Management
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The Degree of Financial Leverage (DFL)

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Correct Answer: Option A
The Degree of Financial Leverage (DFL) measures financial risk of the firm. The degree of financial leverage (DFL) measures the percentage change in EPS for a unit change in operating income, also known as earnings before interest and taxes (EBIT).
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