Dagger Company has a current capital structure consisting of $$100$ million in long$-$term debt with an interest rate of $9\%,$ $$50$ million in preferred equity $(5$ million shares$)$ with annual dividend of $$1$ per share, and $$300$ million in common equity $(10$ million shares$).$ The firm is considering an expansion plan costing $$30$ million. The expansion plan can be financed with additional long$-$term debt at an $11\mathrm{.}00\%$ interest rate or the sale of new common stock at $$30$ per share. The firm$$s marginal tax rate is $30\%.$

$1.$ Determine the indifference level of EBIT for the two financing plans.

$2.$ If the firm's actual EBIT is expected to be $$59$ million, which plan should the firm prefers from EPS perspective? please show work