The use of high energy d+Li sources to produce neutrons for radiation damage studies will require evaluated neutron cross sections up to energies of 40 MeV. Experimental data in this energy region are scarce, and reliance must be placed upon nuclear model calculations to provide the necessary cross sections. We have thus calculated neutron-induced cross sections on 54Fe and 56Fe between 3 and 40 MeV using the multistep preequilibrium Hauser-Feshbach model code GNASH. Special care was taken in the determination of optical model parameters applicable over this wide energy range through use of, and comparison to, neutron total cross section and elastic angular distribution data, (p, n), and (.cap alpha., n) data, as well as other high energy proton induced reaction cross sections and spectral results. The preequilibrium-statistical calculations using these parameters as well as gamma-ray strength functions, level densities, and discrete level information reproduce well most available experimental measurements above 3 MeV for varied reaction types including gamma-ray production data. 12 references.