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  3. the sterling tire companys income statement for 20x1 is as...

Question: the sterling tire companys income statement for 20x1 is as...

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The Sterling Tire Companys income statement for 20X1 is as follows STERLING TIRE COMPANY For the Year Ended Decenber 31, 28x1 Sales (21,800 tires at $62 each) Variable costs (21,038 tires at S31) Fixed costs Earnings before interest and taxes (EBIT) Interest expense Earnings before taxes (EBT) Income tax expense (20%) Earnings after taxes (EAT) 5 1,382,098 651,808 241,890 5,500 eBook 5 190, 59 38,108 5 152,400 e. Compute the degree of operating leverage. (Round your answer to 2 decimel places. Degree of operating leverage b. Compute the degree of financial leverage. (Round your answer to 2 decimal places.) Degree of financial leverage c. Compute the degree of combined leverage. (Round your answer to 2 decimal places.) Degree of combined leverage d. Compute the breek-even point in units. (Round your answer to the nearest whole number.) Break-even point units

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