Cain Auto Supplies and Able Auto Parts are competitors in the aftermarket for auto supplies The separate capital structures for Cain and Able are presented below Able Debt 10 Common stock $140.000 280,000 Debt @ 10% Common stock $280,000 140,000 Total $420,000 Total 1420,000 Cormon shares 28,000 Common shares 14.000 a. Compute EPS i EBIT are $28.000, 342,000, and $59.000 (assume a 30 percent tax rate) (Round the final answers to 2 decimal places. Do not leave any empty spaces: input a 0 wherever it is required) Cain Ale EPS at 120.000 EPS at $42,000 EPS at 559.000 b. What is the relationship between EPS and level of EBIT 1. Earnings before interest and taxes is less than cost of debt. (Click to select) TOE MAMU 20.000 Common shares 14.000 Compute EPS Eat are $28,000, $42.000, and $59.000 (assume a 30 percent tax rate) (Round the final answers to 2 decimal places. Do not leave any empty spaces input a 0 wherever it is required.) Able 3 3 3 3 38,00 5 What is the relationship between EPS and level of EBIT? 1. tre before Interest and taxes is less than cost of debt. tar before interest and taxes quals cost of debt. tre before interest and taxes is greater than cost of debt. (Click to select (Click to select) (Click to select) c. cool debt went up to 12 percent and all other factors remained equal, what would be the indifference point for EBIT