alleryStart learning →Contribution Rs 8 lakh, EBIT Rs 5 lakh, interest Rs 1 lakh. DCL is?
A2.0
B1.25
C2.5
D1.6
Answer & Solution
Correct answer: A. 2.0
Earnings before tax are 4 lakh, so DCL is 8 divided by 4, which is 2.0 (DOL 1.6 times DFL 1.25).
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