Black Berry Farms and Pea Pod Farms are each able to generate EBIT of $$140,000.$ The separate capital structures for Black Berry and Pea Pod are presented below.

Black Berry Pea Pod

Debt @ $7\%$ $$1,050,000$ Debt @ $7\%$ $$650,000$

Common stock $950,000$ Common stock $1,350,000$

Total $$2,000,000$ Total $$2,000,000$

Common shares $190,000$ Common shares $270,000$

a$.$ Compute EPS for both firms $($assume a $40$ percent tax rate$).($Round the final answers to $2$ decimal places.$)$

Black Berry Pea Pod

EPS $ $

b$.$ Assuming a P$/$E ratio of $30$ for each firm, what would be each firm$$s share price? $($Round your intermediate calculations and final answers to $2$ decimal places.$)$

Black Berry Pea Pod

Share price $ $

c$.$ Assume the P$/$E ratio would be $21$ for the riskier company in terms of heavy debt utilization in the capital structure and $32$ for the less risky firm. What would the share price now be for each firm? $($Round your intermediate calculations and final answers to $2$ decimal places.$)$

Black Berry Pea Pod

Share price $ $