Assume we are in an M&M world (i.e. assume that all of the M&M assumptions describe reality). Lanning Inc. reported EBIT of $500 million and EPS of $5.00 per share. Lanning has no debt and has a P/E ratio of 12.00. Perry and Co. has exactly the same operating cash flows as Lanning but has $1,500 mllion of debt and 75 million shares outstanding. You and Perry can borrow at 6.00% per year. a. What is Perry's EPS? Stock price? P/E ratio? ROE? b. For extra credit, prove that you can replicate Lanning's cash flows by borrowing and buying Perry's shares in such a way that Perry's enterprise value (market value of debt plus equity) is equal to Lanning's enterprise value. (This i:s difficult)