a. What is Leverage? [1 marks] b. Consider the operating leverage in two different companies (Twilight Ltd and Sarlite Ltd) that sell the same product, maths set. Twilight Ltd has low investments in fixed assets and hence has a fixed cost of US$ 60, 000. The variable expenses for this company are US$ 3. The Sarlite Ltd has a higly automated company with fixed cost investments of US$ 100, 000, and variable cost of US$ 2. i. Using the sample table, Table 1, estimate the values relevat to the two companies Table 1-Sample Results Table Maths Set Sold 15,000 20,000 25,000 50,000 100,000 Revenue(US$) Total Cost (USS) Profit/Loss (US$) 200,000 Estimate the operating leverage for the two companies, using sales volume from 50, 000 Interpret your results.