Monsters Inc. has a debt to equity ratio of 10% and has 500,000 shares outstanding. It has $2,000,000 of EBIT, and EBIT is expected to remain constant in the future. The company's tax rate is 40%. Monsters is considering issuing $3,750,000 of 9.00% bonds and using the proceeds to repurchase stock The CFO believes that the cost of equity would rise to 11.5% if the recapitalization occurs. a) Assuming the shares could be repurchased at the current market price of $25, what would the price per share be following the recapitalization? b) What is ROIC and ROE of Monsters