Two firms, U and L$,$ have identical annual EBIT $($no tax$)$; Firm U has $$1000$

Equity and Firm L has $$500$ Equity and $$500$ Debt at $10\%$ of interest. Assume $3$

possible outcomes for U as below $($the $3$ outcomes occur with the same probability$).$

Outcome $1$ Outcome $2$ Outcome $3$

EBIT$=200$ EBIT$=100$ EBIT$=40$

What is the ROE for Firm U and L$,$ respectively? Which firm$$s ROE is more volatile?