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A firm has a current capital structure consisting of $ 5 0 0 , 0 0 0 of 6 percent annual interest debt and 5

A firm has a current capital structure consisting of $500,000 of 6 percent annual interest debt and 50,000 shares of common stock. The firm's tax rate is 40 percent on ordinary income. If the EBIT is expected to be $200,000, the firm's earnings per share will be ________.

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