If valcors degree of operating leverage is 20 and its


Earnings per share (EPS) for Valcor, Inc., are $3 at a sales level of $2 million.

If Valcor's degree of operating leverage is 2.0 and its degree of combined leverage is 8.0, what will happen to EPS if operating income increases by 3 percent?

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Financial Management: If valcors degree of operating leverage is 20 and its
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