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James Corporation is comparing two different capital structures: an all-equity plan (Plan I) and a levered plan (Plan II). Under Plan I, the company would
James Corporation is comparing two different capital structures: an all-equity plan (Plan I) and a levered plan (Plan II). Under Plan I, the company would have 151,500 shares of stock outstanding. Under Plan II, there would be 60,600 shares of stock outstanding and $1.515 million in debt outstanding. The interest rate on the debt is 10 percent, and there are no taxes. Required: while Plan Il's EPS is $ (Do not (a)lf EBIT is $202,000, Plan I's EPS is $ include the dollar signs ($). Round your answers to 2 decimal places. (e.g., 32.16)) (b)if EBIT is $682,000, Plan I's EPS is $ include the dollar signs ($). Round your answers to 2 decimal places. (e.g., 32.16)) and Plan Il's EPS is $ (Do not (c)The break-even EBIT is $ answer to the nearest whole dollar amount. (e.g., 32)) . . (Do not include the dollar sign ($). Round your
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