Step TWO: Calculations Part 1: Financial Calculations The following financial calculations were covered in the competency content. Calculate the following seven problems showing formulas for the ratio as well as the answer. Use the provided Calculation worksheet to include the calculations, computation details (showing your work), and answers. Problem #5 - Raising Capital and Capital Structure a) A firm believes that if their Earnings before Interest and Taxes increase by 2%, their net income will increase by 4%. What is their degree of financial leverage? Problem #6 - Capital Budgeting Techniques a) If a project costs $74,000 and will earn $24,000 per year for the next four years, and has a discount rate of 5%, what is the