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The CFO of A&A Brothers has suggested that the company should issue $ 3 0 0 million worth of common stock and use the proceeds

The CFO of A&A Brothers has suggested that the company should issue $300 million worth of common stock and use the proceeds to reduce some of the companys outstanding debt. Assume that the company adopts this policy, and that total assets and operating income (EBIT) remain the same. The companys tax rate will also remain the same. What will happen to net income?

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