Company A has a degree of operating leverage of 4. Sales this year are 800,000 and EBIT is currently 170,000. If sales increase by 5% next year, what will the new level of EBIT be next year? O 34,000 O 178,500 O 210,000 O 204,000 Company A is all equity-financed while company B is financed with a mix of debt and equity. The companies are alike in al other tesports, Company A pays dividends to shareholders each year in perpetuity) of 150,000. Company A's overall cost of capital s 15% Assuming markets are perfect in all respects, what is the total value of Company B? O 1,000,000 1,022,500 O 22,500 1,500,000