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Onion Rings currently has a debt to equity ratio of 10% with 750,000 common shares outstanding. It has $1,500,000 of EBIT, and EBIT is expected

Onion Rings currently has a debt to equity ratio of 10% with 750,000 common shares outstanding. It has $1,500,000 of EBIT, and EBIT is expected to remain the same in the future. The company's tax rate is 30%. Onion is considering issuing $2,500,000 of 12% bonds and using the proceeds to repurchase stock. The CFO believes that the cost of equity would rise to 13.5% if the recapitalization occurs. Assuming the shares could be repurchased at the current market price of $10, what would the price per share be following

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