Ginger Beer Manufacturing is debating between a leveraged and an unleveraged capital structure. The all-equity capital structure would consist of 400,000 shares of stock. The debt and equity option would consist of 300,000 shares of stock plus $1,000,000 of debt with an interest rate of 8.5 percent. What is the break-even level of earnings before interest and taxes between these two options? Ignore taxes. Select the closest answer, you may be off by a few dollars due to rounding. Hint: Breakeven EBIT is where EPS under "old" capital structure = EPS with "new" capital structure. Select one: o a. $385,000 o b. $85,000 o c. $340,000 d. $216,000 e. $237,600