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Hotel Cortez is an all-equity firm that has 9.400 shares of stock outstanding at a market price of $30 per here. The fom's management has

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Hotel Cortez is an all-equity firm that has 9.400 shares of stock outstanding at a market price of $30 per here. The fom's management has decided to Issue $56,000 worth of debt and use the funds to repurchase shares of the outstanding stock. The interest rate on the debt will be 7 percent. What the break-even EBIT? Multiple Choice 513 521,385 $19,740 OM

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