9. Calculating the degrees of leverage Galaxy Corp. forecasts the following income statement for the next year: Income Statement For the Year Ended on December 31 Net sales $960,000 532,000 Less: Variable costs Less: Fixed costs 115,000 EBIT, or NOI $313,000 Less: Interest 206,000 EBT $107,000 Less: Taxes 42,800 Net income $64,200 Galaxy Corp. uses no preferred stock in its capital structure. Click on the following lines and calculate the degrees of operating, financial, and total leverage for Galaxy Corp. DOL DFL DTL |