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AAA Company is financed entirely by common stock that is priced to offer a 15% expected return. The common stock price is $40/share. Earnings per

AAA Company is financed entirely by common stock that is priced to offer a 15% expected return. The common stock price is $40/share. Earnings per share (EPS) is expected to be $6. If the company repurchases 25% of the common stock and substitutes an equal value of debt yielding rD=0.023, what is the expected value of earnings per share after refinancing, precise to two digits after the comma? Assume no taxes.

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