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( Leverage and EPS ) You have developed the following pro forma income statement for your corporation: LOADING . . . . It represents the

(Leverage and EPS)You have developed the following pro forma income statement for your corporation:LOADING.... It represents the most recent year's operations, which ended yesterday. Your supervisor in the controller's office has just handed you a memorandum asking for written responses to the following questions:
Sales
$
45,750,000
Variable costs
(22,800,000)
Revenue before fixed costs
$
22,950,000
Fixed costs
(9,200,000)
EBIT
$
13,750,000
Interest expense
(1,350,000)
Earnings before taxes
$
12,400,000
Taxes (50%)
(6,200,000)
Net income
$
6,200,000
If sales should increase by 25%, the percentage change in earnings before
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