Macbeth Spot Removers is entirely equity financed with values as shown below: Data Number of shares Price per share Market value of shares 1,7ee $ 17 $ 28,900 Although it expects to have an Income of $2,200 a year in perpetuity, this Income is not certain. This table shows the return to stockholders under different assumptions about operating Income. We assume no taxes. Operating income ($) 1,200 Outcomes 1,700 2,200 2,700 Suppose that Macbeth Spot Removers Issues only $3,400 of debt and uses the proceeds to repurchase 200 shares. The Interest rate on the debt is 9%. a. Calculate the equity earnings, earnings per share, and return on shares for each operating Income assumption. (Input all values as a positive number. Round your "Earnings per share" answers to 2 decimal places. Enter your "Return on shares" answers as a percent rounded to 2 decimal places. Round the other answers to the nearest whole num Outcomes Operating income ($) Interest Equity earnings (S) Earnings per share (s) Return on shares (%) b. If the beta of Macbeth's assets is 0.94 and its debt is risk-free, what would be the beta of the equity after the debt Issue? (Round your answers to 2 decimal places.) All-equity beta Debt beta D/E ratio Equity beta Macbeth Spot Removers is entirely equity financed with values as shown below: Data Number of shares Price per share Market value of shares 1,7ee $ 17 $ 28,900 Although it expects to have an Income of $2,200 a year in perpetuity, this Income is not certain. This table shows the return to stockholders under different assumptions about operating Income. We assume no taxes. Operating income ($) 1,200 Outcomes 1,700 2,200 2,700 Suppose that Macbeth Spot Removers Issues only $3,400 of debt and uses the proceeds to repurchase 200 shares. The Interest rate on the debt is 9%. a. Calculate the equity earnings, earnings per share, and return on shares for each operating Income assumption. (Input all values as a positive number. Round your "Earnings per share" answers to 2 decimal places. Enter your "Return on shares" answers as a percent rounded to 2 decimal places. Round the other answers to the nearest whole num Outcomes Operating income ($) Interest Equity earnings (S) Earnings per share (s) Return on shares (%) b. If the beta of Macbeth's assets is 0.94 and its debt is risk-free, what would be the beta of the equity after the debt Issue? (Round your answers to 2 decimal places.) All-equity beta Debt beta D/E ratio Equity beta