3 You have the following Information about two firms, Debt Free, Inc. and Debt Spree, Inc. Both firms have the same prospects for sales and EBIT, and both have the same level of assets, tax rate and borrowing rate. They differ in their use of debt financing. 1 points Scenario Bad year Normal year Sales EBIT 2ee 16 275 40 380 47 Good year eBook Total assets Tax rate Debt Equity Borrowing rate Debt Free Debt Spree 25e 25e 35 % 35 % 150 25e lee 16 % 16 % Print r References Calculate the Interest expense for each firm: Interest expense for Debt Free Interest expense for Debt Spree Calculate the following items for each firm for each scenario (bad year, normal year, good year); return on assets (ROA), net profit, and return on equity (ROE). (Use a minus sign to Indicate negative answers. Round your answers to 2 decimal places.) Debt Free Net Profit Debt Spree Net Profit ROA ROE ROA ROE Scenario Bad year Normal year Good year