Friday, July 31, 2020

Leverage - Online Session (30/07/2020)

Problem:

The following details of A Ltd for the year ended 31st March 2020 are furnished:

Operating Leverage = 3
Financial Leverage = 2
Interest Charges per annum = ₹ 12 Lakh
Corporate Tax Rate = 40 %
Variable Cost as % of Sales = 60 %

Prepare Income Statement.

Solution of the above mentioned problem was discussed and solved in the online session delivered on 30 Jul 2020.

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