Northside, Inc. has no debt outstanding and a total market value of $175,000. Earnings before interest and taxes, are projected to be $16,000 if economic conditions are normal. If there is strong expansion in the economy, the EBIT will be 30% higher. If there is a recession, the EBIT will be 70 % lower. The company is considering a $70,000 debt issue with an interest rate of 7%. The proceeds will be used to repurchase shares of stock. There are currently 2,500 shares outstanding. Ignoring taxes, what will be the percentage change in EPS before restructuring compared to after restructuring if the economy has a strong expansion? 27.40% Can't figure out how thy got 27.40% as the answer.