EBIT and Operating Leverage

Earnings Before Interest and Tax
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Michael Andrew A. Rosales

EBIT and Operating Leverage

Finding the EBIT is very important because it will tell you how's the company used their fixed cost in operations. In other words it will help you determine the company's degree in operating leverage.

  Mohd Sofian Ali Khan
Student (Other), India

Uses Capital Structure

The capital structure is determining the best alternative combination of securities where company collects a funds or raise a fund like equity or pref. share, debenture or a loan.

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