Martha Stewart plans to start a new company to make a new type of cat litter, which turns a different color based on your cat's health (true statement). You are helping her, and the issue now is how to finance the company, with equity only or with a mix of debt and equity. The price per unit will be $10.00 regardless of how the form is financed. The expected fixed and variable operating costs, along with other information are shown below. How much higher or lower will the firm's expected EPS be if it uses some debt rather than only equity, Le, what is EPS - EPSU? Do not round your intermediate calculations. 0% Debt. V 60% Debt.L Expected unit sales 275,000 275,000 $10.00 $1.000.000 Price per unit $10.00 Faxed costs $1.000,000 Variable cost/unit $4.25 Pequired $2,500,000 investment $4.25 $2.500.000 250,000 100,000 Share issued at $10/share Dett Duh, S Equity 0.00% 60.00% Werelle Taytale $2.500.000 01 25.00% $1.500.000 $1,000,000 10.00% 25.00% Interest rate 01 1000% Tax rate 25.00% 25.00% O 8242 O $2.78 O $149 O $206