Fowler, Inc., has no debt outstanding and a total market value of $$240,000.$ Earnings before interest and taxes, EBIT, are projected to be $$28,000$ if economic conditions are normal. If there is strong expansion in the economy, then EBIT will be $10$ percent higher. If there is a recession, then EBIT will be $25$ percent lower. The firm is considering a debt issue of $$48,000$ with an interest rate of $4$ percent. The proceeds will be used to repurchase shares of stock. There are currently $20,000$ shares outstanding. Ignore taxes for this problem. Assume the stock price is constant under all scenarios.