Hi,

I need help understanding this in excel. Please use numbers and not cell references if possible.

Question 4:
You have been provided with the following information about a company (for a full financial year), which manufactures and sells only one product:
Sales price per unit ($)	16,6
Variable cost per unit ($)	7,7
Fixed cost ($)	20 300
Number of units produced	5 550
Equity Capital ($)	600 000
Debt ($)	200 000
Annual Interest on Debt ($)	7,50%
Tax Rate	25,00%
(a) Calculate the Break Even Point for this company in number of units and in revenues ($s).
(b) Calculate the Operating Leverage, Financial Leverage and Combined Leverage of this company (at the level of operation provided above).
(c) Using your calculations above, and everything else staying the same, how much would you expect the EPS of the company increase (in %) if the company manages to sell 800 more units the next year?