Vapid is trying to choose between two financing alternatives. Under Option A, they will sell 127.6 new shares at the current price. Under Option B, they will borrow $300 at 8%. There are currently 900 shares outstanding and the firm has $400 of debt at 8%. The tax rate is 50%. Use this information to answer the following questions. Selected Financial Information Vapid Motors Inc. Current Option A Option B Debt $400 $400 $700 ko 8% 8% 8% Interest $32 $32 $56 Tax Rate 50% 50% 50% Price $2.35 N/A N/A Shares Outstanding 900 734.4 600 Part 1 What is the EBIT-EPS indifference level? Round your answer to the nearest whole dollar. $ 131 x Check Answer Part 2 If Vapid expects an EBIT of $200, which capital structure should it select to maximize EPS? equity O debt