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FINANCIAL STRATEGY (Strat ii kewangan) ABC Corporation, a prominent Malaysia trading firm, is wondering whether to have new capital structure to convert its all-equity capital structure to one that is 35% debt. At the moment, there are 6000 shares outstanding and the price per share is $58. EBIT is expected to remain at $33,000 per year forever. The interes rate on new debt is 8 per cent, and assuming zero taxes. Ms Luck, a shareholder of ABC Corporation, owns 100 shares of stock. Calculate her cash flow under th current capital structure, when the firm pays out all earning as dividend? [10 marks] ii. When the capital structure is changed to 35% debt and 65% equity, what will Ms Luck's cash flow loo like? Assume that she keeps all 100 of her shares. (1 marks]