CUET Business Studies 2025 15 May Shift 1 - There is an increase in profit earned by equity shareholders because of the presence of fixed financial charges. This concept is: | PYQs + Solutions

CUET Business Studies 2025 15 May Shift 1

Business Studies

Medium

Trading on debt

Trading on equity

Trading on fixed capital

Operating leverage

✅ Correct Option: 2

Related questions:

14 May Shift 2

Match List-I with List-II

List-I	List-II
Decision	Activity
(A) Long-term Investment Decision	(I) Choice of Technique
(B) Working Capital Decision	(II) Cash Management
(C) Fixed Capital Decision	(III) Raising capital by issuing shares/debentures
(D) Financing Decision	(IV) Capital Budgeting

Choose the correct answer from the options given below:

14 May Shift 1

What is the consequence of increasing debt in a company's capital structure?

13 May Shift 2

Match List-I with List-II

List-I	List-II
Decisions	Factors affecting the Decisions
(A) Fixed Capital Decision.	(I) Diversification
(B) Capital Structure Decision	(II) Cash flows of the project
(C) Working Capital Decision	(III) Control on Business
(D) Capital budgeting decision	(IV) Business Cycle

Choose the correct answer from the options given below:

CUET Business Studies 2025 15 May Shift 1 PYQs