i need help with Questions A, B, C, AND D, I NEED STEP BY STEP EXPLANATION PLUS ANSWER THANKS.

Phelps Canning Company is considering an expansion of its facilities. Its current income statement is as follows: Sales Less: Variable expense (5ex of sales) Fixed expense Earnings before interest and taxes (EBIT) Interest (10% cost) Earnings before taxes (EBT) Tax (34%) Earnings after taxes (EAT) Shares of common stock EPS 5, eee, Bee 2,5ee, den 1 Bee, Bee 780,000 28e, egg see, eee 170 Bee 33e, Bee 28e, eee 1.65 $ $ ces Phelps Canning Company is currently financed with 50 percent debt and 50 percent equity (common stock). To expand facilities, Mr. Phelps estimates a need for $2 million in additional financing. His investment dealer has laid out three plans for him to consider 1. Sell $2 million of debt at 13 percent 2 Sell $2 million of common stock at $20 per share 3. Sell $1 million of debt at 12 percent and $1 million of common stock at $25 per share Variable costs are expected to stay at 50 percent of sales, while fixed expenses will increase to $2,300,000 per year. Mr. Phelps is not sure how much this expansion will add to sales, but he estimates that sales will rise by $1 million per year for the next five years. ME Phelps is interested in a thorough analysis of his expansion plans and methods of financing. a. Compute the break-even point for operating expenses before and after expansion (in sales dollars). {Enter your answers in dollars, not in million of dollars.) Break-even point before expansion Break-even point after expansion b. Compute the degree of operating leverage (DOL) before and after expansion Assume sales of $5 million before expansion and $6 million after expansion (Round the final answer to 2 decimal places.) DOL before expansion DOL after expansion c. Compute the degree of financial leverage (DFL) before expansion at sales of $5 million and for all three methods of financing after expansion. Assume sales of $6 million for the second part of this question. (Round the final answer to 2 decimal places.) DFL before expansion DFL after expansion 100% Debt DFL after expansion 100% Equity DFL after expansion Su Debt and Equity d. Compute EPS under all three methods of financing the expansion at $6 million in sales (first year) and $10 million in sales (last year), (Round the final answer to 2 decimal places.) Debt Equity Debt and Equity EPS for the First year EPS for the last year