Using the Table below:Abreviated Income Statement$thousands, except EPS31-Dec-20 31-Dec-19 Total Revenue1,796,593 708,101 Cost of Goods Sold420,168 231,789 Gross Profit1,376,425 476,312 Operating Expenses67,428 55,026 Operating Income1,308,997 421,286 Interest & Taxes492,351 277,175 Net Income816,646 144,111 EPS, 50,000,000 shares outstanding 16.33 2.88 (Round all answers to two decimals, i.e. 12.00)

a) Calculate the degree of operating leverage (DOL).Blank 1

b) Calculate the degree of financial leverage (DFL).Blank 2

c) Calculate the degree of combined leverage (DCL). Blank 3

Blank 1: __________

Blank 2: __________

Blank 3: __________

Using the top results:

• What do the degree of operating leverage(DOL), degree of financial leverage (DFL), and degreeof combined leverage(DCL), You obtained in the previous question mean? Explain fully using your results.

Answer: