please solve step by step . final answer : eps under option 1 is 8.33 eps under option 2 is 8.75 eps under option 3 is 6.5

9.) MC Ltd. is planning an expansion program which will require Rs. 30 crores and can be funded through one of the following 3 options: 1. Issue further equity shares of Rs.100 each at par 2. Raise a 15% loan 3. Issue 12% preference shares. The present paid up capital is 60 crores and the annual EBIT is Rs. 12 crores. The tax rate is 50%. After the expansion plan is adopted, the EBIT is expected to be Rs. 15 crores