Question
A firm uses 70% debt financing at 10% interest. Its ROE
rises despite flat operating profits. What explains this phenomenon?Solution
Increased ROE without rise in EBIT indicates positive financial leverage—use of debt to magnify returns to equity.
Which of the following statement is correct about New Parliament building?
(A) A heritage panel comprised of 4 members gave its approval to the...
Which country did the Netherlands cricket team defeat to claim their first victory in the ICC Cricket World Cup 2023?
Consider the following statements:
1.The Council of Ministers is collectively responsible to the Lok Sabha.
2.The total number of Minister...
Which of the following Part of the constitution is related to DPSPs?
What is the maximum amount of bank loan permissible under the Kishor scheme of the Pradhan Mantri Mudra Yojana?
Which of the following river valley project is related to the Tons river?
Part ______ of the Constitution of India provides for freedom of trade and commerce within the country.
Which part of the Indian Constitution deals with fundamental rights?
What was the slogan for National Girl Child Day 2019?
Pointing to Abhaya in a photograph, Jaya said, “She is the mother of Mita whose father is my son.” How is Abhaya related to Jaya?
