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Cooke Co. is comparing two different capital structures. Plan I would result in 10,000 shares of stock and $310,000 in debt. Plan II would result

Cooke Co. is comparing two different capital structures. Plan I would result in 10,000 shares of stock and $310,000 in debt. Plan II would result in 13,000 shares of stock and $217,000 in debt. The interest rate on the debt is 10 percent. The all-equity plan would result in 20,000 shares of stock outstanding. Ignore taxes for this problem

(a)

What is the price per share of equity under Plan I?
(b)

What is the price per share of equity under Plan II?

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