Following is information about two firms: Firm Alpha Firm Gamma...
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Finance
Following is information about two firms:
| Firm Alpha | Firm Gamma | |
|---|---|---|
| Degree of operating leverage (DOL) | 3.5 | 2.0 |
| Degree of total leverage (DTL) | 14.0 | 12.0 |
Which firm is operating closer to its operating breakeven point?
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