Firm A and Firm B have identical assets, sales, interest rates paid on their debt, tax rates, and EBIT. However, Firm A uses more debt than Firm B. Which of the following statements is CORRECT? Without more information, we cannot tell if Firm A or Firm B would have a higher or lower net income. Firm A would have the lower equity multiplier for use in the DuPont equation. Firm A would have to pay more in income taxes. Firm A would have the lower net income as shown on the income statement. Firm A would have the higher operating margin.