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Cross Town Cookies is an all-equity firm with a total market value of $690,000. The firm has 46,000 shares of stock outstanding. Management is considering

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Cross Town Cookies is an all-equity firm with a total market value of $690,000. The firm has 46,000 shares of stock outstanding. Management is considering issuing $143,000 of debt at an interest rate of 7 percent and using the proceeds to repurchase shares. Before the debt issue, EBIT will be $60,200. What is the EPS if the debt is issued? Ignore taxes. $1.59 $138 $1.49 O $.98 O $1.22

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