4. Relevant information about three companies are given below:

BIL PIL MIL Annual production capacity (units) 1,00,000 1,50,000 2,50,000 Capacity utilization and sales 75% 75% 75%

Unit Selling Price (`) 40 50 50 Unit Variable Cost (`) 15 15 20 Fixed cost p.a. (`) 2,00,000 3,00,000 5,00,000 Equity Capital (1000 shares for each company) (`) 5,00,000 7,00,000 10,00,000 10% Preference Share Capital (`) — 50,000 1,00,000 15% Debentures (`) 1,00,000 2,00,000 3,00,000 Calculate Operating Leverage, Financial Leverage, Combined Leverage and EPS of these three companies and comment.