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The Harding Company manufactures skates. The company's Income statement for 20X1 HARDING COMPANY Income Statement For the Year Ended December 31, 20x1 Sales (11,300 skates

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The Harding Company manufactures skates. The company's Income statement for 20X1 HARDING COMPANY Income Statement For the Year Ended December 31, 20x1 Sales (11,300 skates 8 $76 each) $ 858,800 Variable costs (11,300 skates at $33) 372,900 Fixed costs 280,000 Earnings before interest and taxes (EBIT) $ 205,900 Interest expense 66,500 Earnings before taxes (EBT) $ 139,400 Income tax expense (208) 27,880 Earnings after taxes (ET) $ 111,520 a. Compute the degree of operating leverage. (Round your answer to 2 decimal places.) Answer is complete and correct. Degree of operating leverage 2.36 Prey 1 of 10 Next > 30 CE c. Compute the degree of combined leverage. (Round your answer to 2 decimal places.) Degree of combined leverage d. Compute the break-even point in units (number of skates). (Round your answer to the nearest whole number:) Break-e point katos Prey 1 of 10 Nad > Ne S 4 3 5 7 9 W E R T Y A D S K G . Z N B NM

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