Calculate and EBIT break-even between a debt firm (DF) and an all-equity frim (EF) based on the following information: DF interest=$40,000, DF number common shares=$6,000, EF number of common shares=10,000, and tax rate=35 percent. Check your answer by calculating the EPS for both DF and EF at the break-even EBIT.

The break-even EBIT is $___ (Round to the nearest dollar)

The debt firm EPS will be $___ (Round to the nearest tenth)