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Based on the following set of information, do an EPS-EBIT analysis There is 100% debt, 70% debt and 30% equity, 50% debt and 50% equity,
Based on the following set of information, do an EPS-EBIT analysis
There is 100% debt, 70% debt and 30% equity, 50% debt and 50% equity, 30% debt and 70% equity, and 100% equity. The amount of capital needed is $100 million.
The estimated range is low: $20 million, middle: $30 million, high $40 million.
IR= 5%
Tax rate= 30%
Stock price= $50
# of shares outstanding= 500 million
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