Company Z has just realised, based on its forecasted financial statements that it will need additional financing of GHS 200,000 if their 10% sales growth agenda is going to be successful. The estimated EBIT for the forecasted period is GHS 120,000 . The current shares outstanding for the firm is 20,000 units and priced at GHS 100 per share. The firm is unsure whether to go for debt or equity. Debt is available at an interest of 15% per annum. Note that when firm Z falls in the 35% tax bracket. Advice firms Z 32. If the firm were to pursue debt financing, what would be their outcome for earnings per share (EPS) A. GHS 2.295 B. GHS 2.529 C. GHS 2.952 D. GHS 3,900 E. GHS 2,259 33. If the firm were to use equity financing instead of debt fihancing what will be the resulting EPS? A. GHS 3.545 B. GHS 3.554 C. GHS 3.455 D. GHS 4.355 E. GHS 3.900 34. What is the EBIT level that would generate identical EPS for the two financing options and thus make the firm indifferent as to the choice of debt or equity? A. GHS 200,000 B. GHS 220,000 C. GHS 260,000 D. GHS 273,000 E. GHS 237,000