With $100 million in assets, Scalan Industries (SI) generates EBIT equal to $14 million If SI's capital structure includes 20 percent debt, interest on the debt will be 6 percent and there will be 4 million shares of stock outstanding But, if its capital structure includes 50 percent debt, SI will have to pay 8 percent interest and it will have 2 5 million shares outstanding Calculate SI's EPS and ROE (ROE Net income Equity) for each capital structure The marginal tax rate is 30 percent Which capital structure is better

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With $100 million in assets, Scalan Industries (SI) generates EBIT equal to $14 million  If SI's capital structure includes 20 percent debt, interest on the debt will be 6 percent and there will be 4 million shares of stock outstanding  But, if its capital structure includes 50 percent debt, SI will have to pay 8 percent interest and it will have 2 5 million shares outstanding  Calculate SI's EPS and ROE (ROE Net income Equity) for each capital structure  The marginal tax rate is 30 percent  Which capital structure is better

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With $100 million in assets, Scalan Industries (SI) generates EBIT equal to $14 million. If SI's capital structure includes 20 percent debt, interest on the

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