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7. The computation and interpretation of the degree of combinedleverage (DCL) You and your colleague, Chang, are currently participating in a finance intemship program at

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7. The computation and interpretation of the degree of combinedleverage (DCL) You and your colleague, Chang, are currently participating in a finance intemship program at Campbell Construction. Your current assignment is to work together to review Campbell'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 Chang decide to calculate Campbeli's degree of operating leverage (DOL), degree of financial leverage (DFL), and degree of total leverage (DTL) based on this year's data to gain insights into Campbell's risk levels. The most recent income statement for Campbell Construction follows. Campbell is funded solely with debt capital and common equity, and it has 2,000,000 shares of common stock currently outstanding. Given this information, complete the following table and then answer the questions that follow. When performing your calculations, round your EPS and percentage change values to two decimal places. Everything else remaining constant, assume Campbell Construction decides to immediately repay so\% of a bank loan prior to its maturity. How would this affect Campbeli's DOL, DF, and DCL? - The DOL would be expected to - The DFL would be expected to - The DTL would be expected to

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