5. Income statement The income statement for Travers & Co. is shown below. The firm currently has 25.0 million shares of common stock outstanding. However, an analyst has looked at the firm's outstanding warrants and options to determine the likelihood of them being exercised. The analyst has determined that the firm's adjusted number of common shares after the expected dilution is 28.5 million. INCOME STATEMENT (Millions of dollars) Total revenues - Operating costs excluding depreciation. $1,400 1,200 50 - Depreciation and amortization expense Operating income (EBIT) $ 150 - Interest expense 25 $ 125 Taxable income - Taxes 48 Net Income $ 77 - Preferred dividends Net Income available to common shareholders $ 77 Common dividends $ 61 Addition to retained earnings 16 Answer the following questions about Travers & Co.'s income statement. What is the firm's operating margin? 13.79% O 10.71% O 6.29% O 16.67% 8.51% What is the firm's net profit margin? 6.29% 8.51% O 16.67% 13.79% 5.50%