Ramon Cabrera would like to invest in an air compressor business. In line with this, he hired a financial analysis to forecast various leverages to help M. Cabrera decide which option would be better. In both options, the product would be sold at a selling price of $1,000.00 in a 5-year period. Written below are the details of the investments: Option A Variable Cost per unit: Fixed cost. Interest Expense: 80% of the Selling Price $ 200,000.00 20.000.00 Varable Cost tuxed cost Option B Variable Cost per unit: Fixed Cost: Interest Expense: 50% of the Selling Price $1,500,000.00 150,000.00 Assume that on YEAR 1 the company selis 1.000 units and the quantity of goods sold doubles every year. Assume that the tax rate is 30% Limitations of X FAIpQLSduQkGFUBF fnN/VWE2341NDyhfsos5IIVINIRONpk1GAQ/formResponse 2. Compute for the Total Sales, Earnings Before Interest and Taxes (EBIT) and Earnings Per Share (EPS) in 3 years time and 5 years time per option. Your answer 3. Compute for the Degree of Operating Leverage, Degree of Financial Leverage and Degree of Total Leverage for YEAR 3 (BASE YEAR) and 5 (CURRENT YEAR) of both options Your answer 3. Compute for the Degree of Operating Leverage, Degree of Financial Leverage and Degree of Total Leverage for YEAR 3 (BASE YEAR) and 5 (CURRENT YEAR) of both options