The have 2 plans to finance it.

profilegoodjob
 (Not rated)
 (Not rated)
Chat

 The have 2 plans to finance it. Plan A is to sell 1 M shares of stock at $20 each and he other is use financial leverage with debt of $6 M with a 20 year maturity at 10% interest with a tax rate of 50%. I need to find EBIT and the EBIT EPS indifference point.  

    • 7 years ago
    assignment
    NOT RATED

    Purchase the answer to view it

    blurred-text
    • attachment
      ebit_indifference.xlsx