Sinclair Manufacturing and Boswell Brothers Inc. are both involved in the production of tile for the home$-$building industry. Their financial information is as follows:

Capital Structure

Sinclair Boswell

Debt @ $12\%$ $$1,500,0000$

Common stock, $$10$ per share $1,000,000$ $$2,500,000$

$$2,500,000$ $$2,500,000$

Common shares $100,000250,000$

Operating Plan

Sales $(65,000$ units at $$25$ each$)$ $$1,625,000$ $$1,625,000$

Less: Variable costs $1,170,000780,000$

$($$$18$ per unit$)($$$12$ per unit$)$

Fixed costs $0315,000$

Earnings before interest and taxes $($EBIT$)$ $$455,000$ $$530,000$

a$.$ If you combine Sinclair$$s capital structure with Boswell$$s operating plan, what is the DCL$?($Round the final answer to $2$ decimal places.$)$

DCL

X

b$.$ If you combine Boswell$$s capital structure with Sinclair$$s operating plan, what is the DCL$?($Round the final answer to $2$ decimal places.$)$

DCL

X

c$.$ This part of the question is not part of your Connect assignment.

d$.$ In part b$,$ if sales double, by what percentage will EPS increase?

EPS will increase by

$\%$