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Thompson corporation is planning a bond issue to finance a new project. Thompson plans to issue 2000 bonds with a face value of $1000 each

Thompson corporation is planning a bond issue to finance a new project. Thompson plans to issue 2000 bonds with a face value of $1000 each and a coupon rate of 9%. The tax rate is 40%. Projected earnings after completion of the project are $2 million and shares outstanding are 200,000. What is the projected EPS after completion of the project?

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