Calculate the DOL and DFL and DCL

Assignment Help Financial Management

Reference no: EM131903843

MNO had the following data for 2016:

Sales $15 million

Fixed Costs $3 million

Interest Cost $2.5 million

Variable Costs $8 million

Tax Rate 40%

a. Calculate the DOL, DFL, and DCL

b. What will be the expected level of EBIT and NI if next year's sales Increase 15%?

Reference no: EM131903843

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