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Calculate two EBIT-EPS coordinates for each of the structures by selecting any two EBIT values and finding their associated EPS values. . Plot the two

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Calculate two EBIT-EPS coordinates for each of the structures by selecting any two EBIT values and finding their associated EPS values. . Plot the two capital structures on a set of EBIT.EPS axes. Indicate over what EBIT range, if any, each structure is preferred. 1. Discuss the leverage and risk aspects of each structure. . If the firm is fairly certain that its EBIT will exceed $73,000, which structure would you recommend? Why? a. Calculate two EBIT-EPS coordinates for each of the structures by selecting any two EBIT values and finding their associated EPS values. Complete the tables below using $50,000 and $60,000 EBIT: (Round to the nearest dollar. Round the EPS to the nearest cent.) (Round to the nearest dollar. Round the EPS to the nearest cent). (Round to the nearest dollar. Round the EPS to the nearest cent.) (Round to the nearest dollar. Round the EPS to the nearest cent.) The financial breakeven point for structure A is $ (Round to the nearest dollar.) The financial breakeven point for structure B is $ (Round to the nearest dollar.) b. Which graph below correctly depicts the EBIT vs. EPS relation? The correct graph is (Select from the drop-down menu.) c. Indicate over what EBIT range, if any, each structure is preferred. (Select trom the drop-down monus.) If EBrT is expected to be below $49,077, Structure is preferred. If Eart is expected to be above $49,077,5 tructure is preferred. d. Discuss the leverage and risk aspects of each structure. (Select from the drop-down menus.) alse indicates greater thancial leverage. Q. If the firm is faify cartan that is EBrT will exceed $73,000, which sucture would you recomnend? Why? (Select from fine diop-down menu) If EErT is grester than $73.000, Structure is recormended since changes in EPS are much greater for given values of EBIT

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