$(24$ marks$)$

Income Statements for Xcel Energy from $2011$ to $2013$ appear

$.$below

Xcel Energy Incorporated

Annual Income Statements

For the Years $2011$ to $2013($ $ in millions$)$

: Required

a$.$ Enter the data into your worksheet. Assume that Cost of

Revenue and Operation and Maintenance costs are variable.

Depreciation and Other operating expenses are fixed costs. Ignore

Other income when calculating EBT for the questions below

b$.$ Given that Xcel Energy is a power company, would you expect

$?$that it would have more operating leverage or financial leverage

c$.$ Calculate the degree of operating leverage for each year using

$.$the assumptions from part a

$.$d$.$ Calculate the degree of financial leverage for each year

e$.$ Calculate the degree of combined leverage for each of the three

years. Does it appear that Xcel's leverage measures have been

$?$increasing or decreasing over this period

f$.$ Create a line chart that shows how the various leverage

measures have changed over this three$-$year period