Match List I with List II:

 

List-I

 

List -II

 

Coats and Financial Concepts

 

Mechanism and Measures

A.

Financial leverage

I.

Contribution margin ÷ EBIT

B.

Contribution margin

II.

(EBIT) ÷ (EBIT - interest)

C.

Operating leverage

III.

(Contribution margin) ÷
(EBIT - interest)

D.

Combined leverage

IV.

Sales ÷ variable costs

Choose the correct answer from the options given below:

1
(A) - (II), (B) - (I), (C) - (IV), (D) - (III)
2
(A) - (III), (B) - (IV), (C) - (I), (D) - (II)
3
(A) - (I), (B) - (III), (C) - (IV), (D) - (II)
4
(A) - (II), (B) - (IV), (C) - (I), (D) - (III)

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