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Please assist with the following finance question: HomeDepot, Inc.(HD), had 1244 million shares of common stock outstanding in2016, whereas LowesCompanies, Inc.(LOW), had 929 million shares
Please assist with the following finance question:
HomeDepot, Inc.(HD), had 1244 million shares of common stock outstanding in2016, whereas LowesCompanies, Inc.(LOW), had 929 million shares outstanding. Assuming HomeDepot's 2016 interest expense is $919 million, Lowes' interest expense is $552 million, and a 35 percent tax rate for bothfirms, what is theirbreak-even level of operating income(i.e., the level of EBIT where EPS is the same for bothfirms)?
The EBIT indifference level is $????
Thank you!
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