Date Wireless has the following assets:

Current assets: Temporary $$1,080,000$

Permanent $1,160,000$

Capital assets $7,400,000$

Total assets $$9,640,000$

Its operating profit $($EBIT$)$ is expected to be $$1\mathrm{.}8$ million. Its tax rate is $40$ percent. Shares are valued at $$25.$ Capital structure is either short$-$term financing at $6$ percent or equity. There is no long$-$term debt. $($Round the final answers to $2$ decimal places.$)$

a$.$ Calculate expected earnings per share $($EPS$)$ if the firm is perfectly hedged.

EPS $

b$.$ Calculate expected EPS if it has a capital structure of $40\%$ debt.

EPS $

c$.$ Recalculate a and b if short$-$term rates go to $11$ percent.

EPS

Hedged $

Capital structure $