Note I want the answers step by step The following information is given for two companies (X Y) working in the same field and subject to taxable income at an annual rate of 20 Co X Co Y Sales (400,000 units at $5 each) Less Variable costs Fixed costs Earnings before interest and taxes (EBIT) Debt 12 Common stock, $10 per share $2,000,000 800,000 200,000 $ 1,000,000 $2,000,000 1,000,000 $3,000,000 $2,000,000 400,000 400,000 $ 800,000 500,000 $2,500,000 $2,000,000 Required 1 What is the degree of operating leverage, financial leverage, and combined leverage for both companies 2 If sales increase by 50 , what would be the DOL and DFL 3 If you combine X's capital structure with Y's operating plan, what is the degree of combined leverage

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Note  I want the answers step by step The following information is given for two companies (X   Y) working in the same field and subject to taxable income at an annual rate of 20   Co  X Co  Y Sales (400,000 units at $5 each) Less  Variable costs Fixed costs Earnings before interest and taxes (EBIT)  Debt   12     Common stock, $10 per share  $2,000,000 800,000 200,000 $ 1,000,000 $2,000,000 1,000,000 $3,000,000 $2,000,000 400,000 400,000 $ 800,000 500,000 $2,500,000 $2,000,000 Required  1  What is the degree of operating leverage, financial leverage, and combined leverage for both companies  2  If sales increase by 50 , what would be the DOL and DFL  3  If you combine X's capital structure with Y's operating plan, what is the degree of combined leverage

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Note: I want the answers step by step The following information is given for two companies (X & Y) working in the same field and

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