1. A firm has to choose between two capital structures: either ordinary share capital 10 crore (100...
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1. A firm has to choose between two capital structures: either ordinary share capital 10 crore (100 per share) or 15% debentures of 5 crore and ordinary share capital of 5 crore. Assume that the corporate tax rate is 40 per cent. Calculate EBIT at which the plans give same EPS.
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