Question 2 (22 marks) The Sterling Tire Company's income statement for 2018 is below: STERLING TIRE COMPANY Income Statement Year ended December 31, 2018 Sales 36,000 tires @ $ 57 each Less: Variable costs 36,000 tires @ $ 47 each Contribution Margin Less: Fixed cost Earnings before interest and taxes (EBIT) Interest expense Earnings before taxes (EBT) Income tax expense (30%) Earnings after taxes (EAT) Given this income statement, compute the following to two decimal places. $2,052,000 1,692,000 360,000 220.000 140,000 80,000 60,000 18.000 $42.000 a) Degree of operating leverage. b) Degree of financial leverage. c) Degree of combined leverage. d) Does financial or operating leverage have the greater impact