just need the answers for the red x's

Delsing Canning Company is considering an expansion of its facilities. Its current income statement is as follows: Sales Variable costs (50% of sales) Fixed costs Earnings before interest and taxes (EBIT) Interest (10% cost) Earnings before taxes (EBT) Tax (30%) Earnings after taxes (EAT) Shares of common stock Earnings per share $ 5,600,000 2,800,000 1,860,000 $ 940,000 320,000 $ 620,000 186,000 $ 434,000 260,000 $ 1.67 The company is currently financed with 50 percent debt and 50 percent equity (common stock, par value of $10). In order to expand the facilities, Mr. Delsing estimates a need for $2.6 million in additional financing. His investment banker has laid out three plans for him to consider: 1. Sell $2.5 million of debt at 14 percent. 2. Sell $2.6 million of common stock at $20 per share. 3. Sell $1.30 million of debt at 13 percent and $1.30 million of common stock at $25 per share. Variable costs are expected to stay at 50 percent of sales, while fixed expenses will increase to $2,360,000 per year. Delsing is not sure how much this expansion will add to sales, but he estimates that sales will rise by $1 million per year for the next five years. Delsing is interested in a thorough analysis of his expansion plans and methods of financing. He would like you to analyze the following: howing. a. The break-even point for operating expenses before and after expansion (in sales dollars). (Enter your answers in dollars not in millions, i.e, $1,234,567.) Answer is complete and correct. Break-Even Point $ Before expansion After expansion 3,720,000 4.720.000 S b. The degree of operating leverage before and after expansion. Assume sales of $5.6 million before expansion and $6.6 million after expansion. Use the formula: DOL = (S-TVO/(S- TVC - FC). (Round your answers to 2 decimal places.) Answer is complete and correct. Degree of Operating Leverage 2.98 Before expansion After expansion 3.51 d. Compute EPS under all three methods of financing the expansion at $6.6 million in sales (first year) and $10.6 million in sales (last year). (Round your answers to 2 decimal places.) Answer is complete but not entirely correct. Earnings per Share First Year Last Year 100% Debt $ 3.67 X $ 0.69 X 100% Equity 50% Debt & 50% Equity $ 1.52 X $ 1.11 X $ 2.08 $ 1.01 X