Kaelea, Inc., has no debt outstanding and a total market value of $90,000. Earnings before interest and taxes, EBIT, are projected to be $8,900 if economic conditions are normal. If there is strong expansion in the economy, then EBIT will be 24 percent higher. If there is a recession, then EBIT will be 31 percent lower. Kaelea is considering a $29,000 debt issue with an interest rate of 7 percent. The proceeds will be used to repurchase shares of stock. There are currently 4,500 shares outstanding. Ignore taxes for this problem. (a) | Calculate earnings per share, EPS, under each of the three economic scenarios before any debt is issued. (Do not round intermediate calculations. Round your answers to 2 decimal places (e.g., 32.16).) | | EPS | Recession | $ 1.36 | Normal | $ 1.97 | Expansion | $2.452 | | (b) | Calculate the percentage changes in EPS when the economy expands or enters a recession. (Do not round intermediate calculations. Negative amounts should be indicated by a minus sign. Round your answers to 2 decimal places (e.g., 32.16).) | | %EPS | Recession | -31.00% | Expansion | 23.98 % | | Assume Kaelea goes through with recapitalization. | (a) | Calculate earnings per share, EPS, under each of the three economic scenarios after the recapitalization. (Do not round intermediate calculations. Round your answers to 2 decimal places (e.g., 32.16).) | | EPS | Recession | $ 1.36 | Normal | $ | Expansion | $ | | (b) | Calculate the percentage changes in EPS when the economy expands or enters a recession. (Negative amounts should be indicated by a minus sign. Round your answers to 2 decimal places (e.g., 32.16).) | | %EPS | Recession | % | Expansion | % | I need the rest their is one on chegg exact one but the numbers don't match at all. The numbers that are in chart are correct but need the rest |