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The following information pertains to Merlot Berhad: Required: At a sales level of 150,000 units: a) Calculate the break-even point in unit and in RM.

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The following information pertains to Merlot Berhad: Required: At a sales level of 150,000 units: a) Calculate the break-even point in unit and in RM. (6 Marks) b) Calculate the degree of operating leverage (DOL), degree of financial leverage (DFL) and degree of total leverage (DTL). (6 Marks) c) Referring to your answer in (b), show the effect on the earnings per share (EPS) if: i. Sales increase by 40%. ii. Sales decrease by 20%. (8 Marks)

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