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Sinclair Manufacturing and Boswell Brothers Incorporated are both involved in the production of brick for the homebuilding industry. Their financial information is as follows: The
Sinclair Manufacturing and Boswell Brothers Incorporated are both involved in the production of brick for the homebuilding industry. Their financial information is as follows:
The variable costs for Sinclair are $ per unit compared to $ per unit for Boswell.
a If you combine Sinclair's capital structure with Boswell's operating plan, what is the degree of combined leverage?
Note: Round your answer to decimal places.
Degree of combined leverage
b If you combine Boswell's capital structure with Sinclair's operating plan, what is the degree of combined leverage?
Note: Round your answer to the nearest whole number.
Degree of combined leverage
c In part if sales double, by what percentage will earnings per share EPS increase?
Note: Round your answer to the nearest whole percent.
tableEPS will increase by
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