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Byrd Corporation is comparing two different capital structures, an all-equity plan (Plan 1) and a levered plan (Plan II). Under Plan I, the company would

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Byrd Corporation is comparing two different capital structures, an all-equity plan (Plan 1) and a levered plan (Plan II). Under Plan I, the company would have 365,000 shares of stock outstanding. Under Plan II, there would be 245,000 shares of stock outstanding and $4.56 million in debt outstanding. The interest rate on the debt is 10 percent and there are no taxes. a. If EBIT is $1.25 million, what is the EPS for each plan? (Round your answers to 2 decimal places, e.g., 32.16.) b. If EBIT is $1.75 million, what is the EPS for each plan? (Round your answers to 2 decimal places, e.g., 32.16.) c. What is the break-even EBIT? (Enter your answer in dollars, not millions of dollars, rounded to the nearest whole number, e.g., 1,234,567.) . a. Plan 1 Plan 11 b. Plan 1 Plan 11 C. Break-even EBIT

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