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Intro Depending on the demand for your product, your sales are expected as follows: EBIT is expected to be 23% of sales and the average

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Intro Depending on the demand for your product, your sales are expected as follows: EBIT is expected to be 23% of sales and the average tax rate is 34 . There is no debt, the market value of equity is 370 and there are 40 shares outstanding. The company is thinking of borrowing $250 at an interest rate of 5% to repurchase its shares at the current market value. Part 1 Attempt 2/10 for 10 pts. What is the standard deviation of ROIC before the recapitalization? Part 2 Attempt 1/10 for 10 pts. What is the standard deviation of EPS before the recapitalization? Part 3 Attempt 1/10 for 10 pts. What is the standard deviation of EPS after the recapitalization

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