Company TechGear Ltd. is a technology company that manufactures and sells smartphones. They are currently analyzing their financial structure to understand how changes in sales and financing can impact their profitability and risk calculating the leverage position. The CFO of TechGear obtained the following information for the calculation: , , a. Calculate the Degree of Operating Leverage, Degree of Financial Leverage, and Degree of Total Leverage for the company. b. What would happen to the company's leverage positions if its existing mobile phone sales drop by 20% due to a new competitor's entry into the smartphone business? c. Compare and comment on the riskiness of the company under two scenarios in (a) and (b). Briefly explain how the inclusion of fixed costs affects a company's risk and profitability under the above scenarios