Correct Answer:
C. 1.33
DFL = EBIT / (EBIT - interest) = 200,000 / 150,000 = 1.33.
November 13, 2026 · Accounting and Finance MCQs, Financial Management & Analysis MCQs
EBIT is Rs. 200,000 and interest is Rs. 50,000. The degree of financial leverage is approximately:
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