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I need help to solve this question... Levered Company Inc, intends to raise $5 million for plant expansion. The company has an option of financing

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Levered Company Inc, intends to raise $5 million for plant expansion. The company has an option of financing by way of either an equity issue (new shares), by selling shares at $50 per share or through a bond issue (debt financing) bearing an annual interest of 10%. The company's current capital structure consists of $20,000,000 in debt bearing 8% interest and $25,000,000 in equity. The company's recent income statement is: New capital injection will increase company's operating profits by 10% For each proposed capital structure (equity issue \& bond issue), determine EPS (4 MARKS), ROE (2 MARKS) and Times Interest Earned (2 MARKS)

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