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PLEASE HELP ....................... (b) Upbeat Berhad has a current capital structure consisting of RM150,000 of 15% debt and 3,500 shares of common stock. The tax

PLEASE HELP .......................

(b) Upbeat Berhad has a current capital structure consisting of RM150,000 of 15% debt and 3,500 shares of common stock. The tax rate is 40%. (i) Determine the earnings per share (EPS) when the earnings before interest and tax (EBIT) is RM75,000 and RM99,000. (7 marks) (ii) Calculate the degree of financial leverage (DFL) using EBIT of RM75,000 as a base. (2 marks) (iii) How would you interpret the Upbeat Berhad's DFL? (2 marks)

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