QUESTION 2 1. Calculate the Degree of Financial Leverage (DFL) for ASDF. (4 points) DFL EBIT EBIT-T Where: EBIT = last years EBIT I = annual interest paid DFL 2. Calculate the Degree of Combined Leverage (DCL) for ASDF. (4 Points) DCL EDOL X DFL 3. Given the above Degree of Combined Leverage (DCL), a 10% increase in sales would lead to what Percent and Dollar Increase in Net Income After Taxes (NIAT)? (4 points) % Increase in NIAT = % Increase in Sales X DCL X 11 $ Increase in NIAT = % Increase in NIAT X NIAT = X QUESTION 2 1. Calculate the Degree of Financial Leverage (DFL) for ASDF. (4 points) DFL EBIT EBIT-T Where: EBIT = last years EBIT I = annual interest paid DFL 2. Calculate the Degree of Combined Leverage (DCL) for ASDF. (4 Points) DCL EDOL X DFL 3. Given the above Degree of Combined Leverage (DCL), a 10% increase in sales would lead to what Percent and Dollar Increase in Net Income After Taxes (NIAT)? (4 points) % Increase in NIAT = % Increase in Sales X DCL X 11 $ Increase in NIAT = % Increase in NIAT X NIAT = X