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UTT. Inc. is an all - equity firm that has 1 0 , 3 0 0 shares of stock outstanding at a market price of

UTT. Inc. is an all

-

equity firm that has

10, 300

shares of stock outstanding at a market price of $

32

per share. The firm's management has decided to issue $

62, 000

worth of debt and use the funds to repurchase shares of the outstanding stock. The interest rate on the debt will be

6

percent. What is the break

-

even EBIT?

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