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Green Foods currently has $ 5 0 0 , 0 0 0 of equity and is planning an $ 2 0 0 , 0 0

Green Foods currently has $500,000 of equity and is planning an $200,000 expansion to meet increasing demand for its product. The company currently earns $150,000 in net income, and the expansion will yield $75,000 in additional income before any interest expense.
The company has three options: (1) do not expand, (2) expand and issue $200,000 in debt that requires payments of 10% annual interest, or (3) expand and raise $200,000 from equity financing. For each option, compute (a) net income and (b) return on equity (Net Income Equity). Ignore any income tax effects.
Note: Round "Return on equity" to 1 decimal place.
\table[[,1 Don't Expand,2 Debt Financing,3 Equity Financing],[Income before interest expense,$150,000,,],[Interest expense,,,],[Net income,$150,000,,],[Equity,$500,000,,]]
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