Which of the following statements is correct?

A) Suppose Company A's EPS is expected to experience a larger percentage change in response to a given percentage change in sales than Company B's EPS. Other things held constant, Company A would appear to have more business risk than Company B.
B) Statement a would be correct if the term "EBIT" were substituted for "EPS."
C) Statement a would be correct if the term "EBIT" were substituted for "sales."
D) Statement a would be correct if the words "financial risk" were substituted for "business risk."
E) The above statements are all false.

B

Business

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Dan's Drugstore sells medicine to consumers for $20 that only cost $2 to produce. Critics accuse Dan's of ________

A) deceptive promotion B) deceptive packaging C) false advertising D) excessive markups E) redlining

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________ is a restraint of trade in which a seller refuses to sell one product to a customer unless the customer agrees to purchase a second product from the seller

A) Tying arrangement B) Predatory pricing C) Price fixing D) Group boycott

Business