--%>
Assignment Help - homework help

Does high operating leverage mean high business risk

Does high operating leverage for all time mean high business risk? Describe.
High operating leverage does not for all time mean high business risk. If the company's sales are fairly stable then the variation into operating income would be small even if the degree of operating leverage were large.

   Related Questions in Finance Basics

  • Q : Problem of time lags in enacting and

    Normal 0 false false

  • Q : Define Organization Code Organization

    Organization Code: The four-digit code allotted to each state governmental entity (and at times to exclusive budgetary programs) for fiscal system aims. The organization code is the initial segment of the budget item or appropriation

    		•
  • Q : Determine the level of real output in

    Normal 0 false false

  • Q : Domestic supply and demand diagram

    Normal 0 false false

    		•
  • Q : Value $100 is received at the beginning

    $100 is received at the beginning of year 1, $200 is received at the beginning of year 2, and $300 is received at the beginning of year 3. If these cash flows are deposited at 12 percent, their combined future value at the end of year 3 is

    		•
  • Q : What are the Changes in Authorized

    Changes in Authorized Positions (“Schedule 2”): This is a schedule in the Governor’s Budget which reflects staffing changes made following to the adoption of the present year budget and enacted legislation. This planned document modi

    		•
  • Q : Describe Schedule 10 Schedule 10 :

    Schedule 10: (Supplementary Schedule of Appropriations): The Department of Finance control document listing all the appropriations and allocations of funds accessible for expenditure throughout the past, present, and budget years. Such documents are s

    		•
  • Q : Question on hypothetical economy Normal

    Normal 0 false false

  • Q : What do you mean by Without Regard To

    What do you mean by Without Regard To Fiscal Year (WRTFY): Where an appropriation has no period of restriction on its accessibility.

    		•
  • Q : Explain Pro Rata Pro Rata : It is the

    Pro Rata: It is the amount of state administrative costs, paid from General Fund and the Central Service Cost Recovery Fund (example, amounts expended by the central service departments like the State Treasurer's Office, State Controller's Office, Sta

    		•