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Question 18 Given the following information, which of the following statements is most FALSE? Historical Yr Projected Yr Sales 185,000 220,000 EBIT 116,000 140,000 NI

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Question 18 Given the following information, which of the following statements is most FALSE? Historical Yr Projected Yr Sales 185,000 220,000 EBIT 116,000 140,000 NI 60,000 75,190 a. The degree of total leverage is 1.4153. O b. The degree of operating leverage is 1.0936. O c. The degree of financial leverage is 1.2236. d. EPS would increase by the same percentage as NI. e. The financial leverage was caused by the interest expense not staying proportional to Sales. 4 pts

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