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Startup Milwaukee, Inc. has no debt outstanding, no depreciation, there are no taxes, and a total market value of $400,000. Earnings before interest and taxes,

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Startup Milwaukee, Inc. has no debt outstanding, no depreciation, there are no taxes, and a total market value of $400,000. Earnings before interest and taxes, EBIT, are projected to be $20,000, if economic conditions are normal. There are currently 10,000 shares outstanding. Calculate earnings per share, EPS, for Startup Milwaukee before a potential plan for recapitalization. Hint: NI = (EBIT - Interest - Taxes). EPS = 1.40 EPS = 1.00 O EPS = 2.00 O EPS = 0.875

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