The Sterling Tire Company's income statement for 20XX is as follows: STERLING TIRE COMPANY Income Statement Year ended December 31, 20xx Sales (60,000 tires at $75 each) Less: Variable costs (60,000 tires at $50) $ 4,500,000 3,000,000 Contribution margin Less: Fixed costs 1,500,000 1,250,000 Earnings before interest and taxes (EBIT) Interest expense 250,000 50,000 Earnings before taxes (EBT) Income tax expense (30%) 200,000 60,000 Earnings after taxes (EAT) $ 140,000 Given this income statement, compute the following: a. Degree of operating leverage. (Round the final answer to 2 decimal places.) DOL b. Degree of financial leverage. (Round the final answer to 2 decimal places.) c-1. Degree of combined leverage. (Do not round the intermediate calculations. Round the final answer to 2 decimal places.) DCL X C-2. Using your answers to a. and b. calculate the percentage increase in EBIT and EBT from a 20 percent increase in sales volume, (Do not round the intermediate calculations. Round the final answers to 2 decimal places.) EBIT % c-3. Does financial or operating leverage have the greater impact? ODOL ODFL d. Break-even point in units. (Round the final answer to the nearest whole number.) Break-even point tires e. Break-even point considering the interest expense as a fixed cost. Break-even point tires