Based on the above level of sales and earnings before interest and taxes, calculate the following:

A. Degree of operating leverage

B. Degree of financial leverage

C. Degree of combined leverage

D. Percentage change in earnings before interest and taxes if sales decrease by 15%

E. Percentage change in earnings per share if sales increase by 25%

Question 6 Wira Bhd's statement of profit or loss and other comprehensive income for the year ended 31 December 2013 is as follows: RM Sales 1,800,000 Variable costs 720,000 Fixed costs 540,000 540,000 Earnings before interest and taxes 360,000 Interest 180,000 Earnings before taxes 45,000 Taxes (25%) 135,000 Earnings after taxes