Oak Farms is an unlevered firm with 1550 shares outstanding and an EBIT of 675. Corporate earnings are taxed at a rate of 38%. Calculate EPS for Oak Farms ______

Your answer should be in dollars and cents

Suppose that Oak Farms makes a decision to partition (split) its assets into debt and equity. The firm issues $1850 of debt at a cost of 8.15%, and uses these funds to reduce the amount of equity on its books. The partition does not change the EBIT or the tax rate, but does reduce the number of shares outstanding to 800. Compute Oak Farms EPS after the partition ________

Your answer should be in dollars and cents