<\/div><\/div><\/div> Cain Auto Supplies and Able Auto Parts are competitors in the aftermarket for auto supplies. The separate capital structures for Cain and Able are presented below. Cain Able Debt 8 8% $90, 000 Debt @ 8% $180,000 Common stock 180,000 Common stock 90,000 Total $270, 000 Total $270,000 Common shares 18,000 Common shares 9,000 a. Compute EPS if EBIT are $18,000, $21,600, and $54,000 (assume a 10 percent tax rate). (Round the final answers to 2 decimal places. Do not leave any empty spaces; input a 0 wherever it is required.) Cain Able EPS at $18,000 S EPS at $21, 600 S EPS at $54,000 S b. What is the relationship between EPS and level of EBIT?c. If the cost of debt went up 1:010 percent and all other factors remained equal, what would be the indifference point for EBIT'? Break-even level $ |:|",
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"title": "Calculus Early Transcendentals",
"isbn": "1285741552, 9781305482463 , 978-1285741550",
"edition": "8th edition",
"authors": "James Stewart",
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"question_posted": "2024-06-09 19:19:12",
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