Chores Your goal is to find$$debt and equity values $($in dollars$)$ for two companies: Steinberg company and Dietrich company.$$The required$$return is$14$ percent for both companies.Both companies do not pay$$taxes on their income.$$Imagine a one$-$year time line for each company. In other words, Year $1$ will be the last one. It is uncertain what the next year will look like for the two companies. It$$will depend on the economy: it may be expanding $(90$ percent likely scenario$)$or it may be falling into recession $(10$ percent likely scenario$).$ Here's what will happen under each scenario for each company:If expansion takes place $---$ the earnings before interest and taxes will equal $$4\mathrm{.}5$ million.$$If recession takes place $---$the earnings before interest and taxes will equal$$$$1\mathrm{.}9$ million.What is also known$$is that, in Year $1,$ Steinberg's creditors will expect to collect$$$$990,000,$ and Dietrich's creditors will$$expect to collect $$2$ million.$$a$-1.$Calculate the current values of debt and equity for Steinberg company.$($Do not round intermediate calculations and enter your answers in dollars, not millions of dollars, rounded to the nearest whole number, e$.$g$.,1,234,567.)$a$-2.$Now, what about the Dietrich company?$($Do not round intermediate calculations and enter your answers in dollars, not millions of dollars, rounded to the nearest whole number, e$.$g$.,1,234,567.)$b$.$"The total value of Steinberg should exceed the total value of Dietrich$$ because Steinberg has a lower amount of debt, and therefore has a lower chance of bankruptcy." Do you agree or disagree with this?

A$-1)$ Steinberg equity value$=$ Steinberg debt value $=$

A$-2)$ Dietrich equity value$=$ Dietrich debt value $=$

B$)$ Risk of bankruptcy affect a firms value $=$ agree or disagree$$