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Consider the following information: Sales: $950,000 Interest expense: 40,000 Variable costs: 270,000 Taxes: 84,000 Fixed costs: 400,000 If sales increase by 7%, what should be

Consider the following information:

Sales: $950,000

Interest expense: 40,000

Variable costs: 270,000

Taxes: 84,000

Fixed costs: 400,000

If sales increase by 7%, what should be the increase in earnings per share?

17.0%

19.83%

2.83%

8.17%

7.0%

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