Integrative-Multiple leverage messures Play-More Toys produces inftatable beach bolls, selling 440,000 balls per yoar. Fach bal produced has a variable operating cost of $0.89 and sells for $1,21. Fbcod operating costs are $29,000. The firm has annual interest charges of $6,000, preferred dividends of $1,800, and a 40% tax rate. a. Calculate the operating breakeven point in units. b. Use the degree of operating lovorage (DOL) formula to calculate DOL. c. Use the degree of financial leverage (DFL) fomula to calculate DFL. d. Use the degree of total leverage (DTL) fommila to celculate DTL Compare this to the product of DOL and DFL. calculated in parts (b) and (c). a. The operating breakeven point in units is uniss. (Round to the nearent integer.) b. The degree of cperating leverage is (Round to four decimal placen.) c. The degree of financial leverage is (Round to four decimal places) d. The degree of total leverage is (Round your answer to two decimal places) Compare this to the product of DOL and DFL calculated in parts (b) and (c). The degree of tatul leverage is (Round your answer to two decimal places) The values for the degree of total leverage calculated above are (Note: If the difference between the Wwo catculated values above is 0.01 or less, these are considered as equal values. Select from the drop-down menu).

1. Integrative-Multiple leverage messures Play-More Toys produces inftatable beach bolls, selling
440,000 balls per yoar. Fach bal produced has a variable operating cost of $0.89 and sells for
$1,21. Fbcod operating costs are $29,000. The firm has annual interest charges of $6,000,
preferred dividends of $1,800, and a 40% tax rate. a. Calculate the operating breakeven point in
units. b. Use the degree of operating lovorage (DOL) formula to calculate DOL. c. Use the
degree of financial leverage (DFL) fomula to calculate DFL. d. Use the degree of total leverage
(DTL) fommila to celculate DTL Compare this to the product of DOL and DFL. calculated in
parts (b) and (c). a. The operating breakeven point in units is uniss. (Round to the nearent
integer.) b. The degree of cperating leverage is (Round to four decimal placen.) c. The degree of
financial leverage is (Round to four decimal places) d. The degree of total leverage is (Round
your answer to two decimal places) Compare this to the product of DOL and DFL calculated in
parts (b) and (c). The degree of tatul leverage is (Round your answer to two decimal places) The
values for the degree of total leverage calculated above are (Note: If the difference between the
Wwo catculated values above is 0.01 or less, these are considered as equal values. Select from
the drop-down menu)