Sterling Optical and Royal Optical both make glass frames and each is able to generate earnings before interest and taxes of $$132,000$The separate capital structures for Sterling and Royal are shown here: Debt $12\%$ stock, $$5$ par Total shares Sterling Royal $660,000220,000440,0001,100,000$ $$1,100,00088,000176,000.$ Compute earnings per share for both firms. Assume a $25$ percent tax rate. $($Round your answers to $2$ decimal places.$)$ per Share Sterling Royal b$.$ In part ayou should have reached the same answer for both companiesearnings per shareAssuming a P$/$E ratio of $22$ for each company, what would its share price be $?($Do not round intermediate calculations $.$ Round your answer to $2$ decimal places.$)$ Share price Now as part of your analysis, assume the PE ratio would be $16$ for the riskier company in terms of heavy debt utilization in the capital structure and $24$ for the less risky company. What would the share prices for the two firms be under these assumptions $?($Note: Although interest rates also would likely be different based on risk, we will hold them constant for ease of analysis.$)($Do not roundShare Price $ SterlingRoyal