Which statement about financial leverage is true?

Group of answer choices

None are true.

Using more debt in the capital structure will always lead to higher EPS for a given level of EBIT.

If a firm uses debt in its capital structure, ROA is greater than ROE.

If EBIT is below the break-even point, using more debt in the capital structure will lead to higher EPS for a given level of EBIT.

If EBIT is above the break-even point, using more debt in the capital structure will lead to higher EPS for a given level of EBIT.