Sunrise, Inc. has no debt outstanding and a total market value of $150,000. Earnings before interest and taxes, EBIT, are projected to be $12,000 if economic conditions are normal. If there is strong expansion in the economy, then EBIT will be 10 percent higher If there is a recession, then EBIT will be 30 percent lower. The company is considering a $75,000 debt issue with an interest rate of 6 percent. The proceeds will be used to repurchase shares of stock. There are currently 10,000 shares outstanding. Ignore taxes for this problem. Assume the stock price is constant under all scenarios. -1. Calculate earnings per share (EPS) under each of the three economic scenarios before any debt is issued (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) .-2. Calculate the percentage changes in EPS when the economy expands or enters a recession (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) b-1. Calculate earnings per share (EPS) under each of the three economic scenarios assuming the company goes through with recapitalization (Do not round intermediate calculations and round your answers to 2 decimal places, e.g.. 32.16.) b-2. Given the recapitalization calculate the percentage changes in EPS when the economy expands or enters a recession (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and enter your answers as a percent rounded to 2 de cimal places, e.g. 32.16.) % : % a-1. Recession EPS Normal EPS Expansion EPS a-2. Recession percentage change in EPS Expansion percentage change in EPS b-1. Recession EPS Normal EPS b-2. Expansion EPS Recession percentage change in EPS Expansion percentage change in EPS %