7. Dave's Manufacturing reported the following income statement for 2019: Sales $85,000,000 Depreciation Raw materials Wages Gen/Admin $48,000,000 19,000,000 3,500,000 6,000,000 Total Operating Expenses. 76,500,000 EBIT $8,500,000 Interest Expense EBT Taxes EAT Preferred Stock Dividend EAC EPS $1.375 3,250,000 $5,250,000 2,100,000 $3,150,000 1,500,000 $1,650,000 Assume that all of the depreciation and 90% of the Gen/Admin expenses are fixed. The remaining operating expenses are expected to vary with the level of sales. a. Compute Dave's fixed costs, variable costs and variable cost ratio. b. Compute Dave's DOL, DEL and DTL.