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Southwest Sands currently has 21,000 shares of stock outstanding. It is considering issuing $122,000 of debt at an interest rate of 7.3 percent. The break-even
Southwest Sands currently has 21,000 shares of stock outstanding. It is considering issuing $122,000 of debt at an interest rate of 7.3 percent. The break-even level of EBIT between these two capital structure options is $72,000. How many shares of stock will be repurchased if the company undergoes the recapitalization? Ignore taxes. Multiple Choice 2,040.96 shares 2,814.05 shares 2,467.70 shares 2,597.58 shares 2,226.50 shares
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