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SCENARIO #4: 10 points Complete the EPS/EBIT Analysis for the XYZ Company by determining the EPS based on the following a.100% Debt financing bo 100%
SCENARIO #4: 10 points Complete the EPS/EBIT Analysis for the XYZ Company by determining the EPS based on the following a.100% Debt financing bo 100% Stock financing c. 50/50 Debt Stock Combination Input Data Amount of capital needed EBIT Interest Rate Tax Rate Stock Price #Shares outstanding The Number S75 million 15 million ent 35 percent S50 250 million 100% Debt 100% Stock 50/50 Debt Stk Combo SEBIT SINTEREST SEBT STAXES SEAT #SHARES SEPS QUESTION-scenario #4: 1. Which financing is BEST for the XYZ Company? Explain
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