alleryStart learning →A firm has EBIT Rs 4 lakh, fixed cost Rs 2 lakh, interest Rs 1 lakh. Its DCL?
A1.5
B1.33
C2.0
D3.0
Answer & Solution
Correct answer: C. 2.0
DCL is EBIT plus fixed cost over EBIT less interest, 6 divided by 3, giving 2.0.
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