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Wood Cabinet's is an all-equity firm with 180,000 shares of stock outstanding that sell for $42 per share. The current net income is $320,400. An
Wood Cabinet's is an all-equity firm with 180,000 shares of stock outstanding that sell for $42 per share. The current net income is $320,400. An expansion project will cost $1.26 million. Assume the price-earnings ratio remains constant. By what amount must the new project increase the net income for the stock price to remain at $42?
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