It is December 31. Last year, Water and Power Company (W\&P) had sales of $80,000,000, and it forecasts that next year's sales will be $86,400,000. Its fored costs have been - and are expected to continue to be- $44,000,000, and its variable cost ratio is 20,00%. WBs's capital structure consiats of a $15 milion bank loan, on which it pays an interest rate of 12%, and 5,000,000 shares of outsanding common equity. The company's profits are taxed at a marginal rate of 35%. Given this data, compute the following: Noter For these computations, round each value to two decimal places. - The company's percentage change in EEIT is - The percentage change in WBP's earnings per share (EPS) if - The degree of financial leverage (DFL) at $96,400,000 is Consider the folowing atatement about OFL, and indicate whether or not it is correct: comesponding e sea increase in the firmin EETT: True