4. The computation and interpretation of the degree of combined leverage (DCL) Aa Aa You and your colleague, Madison, are currently participating in a finance internship program at Tucker Manufacturing Your current assignment is to work together to review Tucker's current and projected income statements. You will also assess the consequences of management's capital structure and investment decisions on the firm's future riskiness. After much discussion, you and Madison decide to calculate Tucker's degree of operating leverage (DOL), degree of financial leverage (DFL), and degree of combined leverage (DCL) based on this year's data to gain insights into Tucker's risk levels The most recent income statement for Tucker Manufacturing follows. Tucker is funded solely with debt capital and common equity, and it has 3,000,000 shares of common stock currently outstanding Next Year's This Year's Data $40,000,000 20,000,000 20,000,000 8,000,000 12,000,000 800,000 11,200,000 4,480,000 $6,720,000 $2.24 Projected Data Sales Less: Variable costs Gross profit Less: Fixed operating costs Net operating income (EBIT) Less: Interest expense Taxable income (EBT) Less: Tax expense (40%) Net income Earnings per share (EPS) $43,200,000 21,600,000 21,600,000 8,000,000 13,600,000 800,000 12,800,000 5,120,000 7,680,000 $2.56 Given this information, complete the following table and then answer the questions that follow. When performing your computations, round your EPS value and the percentage change values to two decimal places Tucker Manufacturing Data DOL (Sales = $40,000,000) DFL (EBIT = $12,000,000) DCL (Sales = $40,000,000)