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You are the CFO of North Star Corporation, which currently has no debt. You want to issue debt, and need to calculate the breakeven EBIT.

You are the CFO of North Star Corporation, which currently has no debt. You want to issue debt, and need to calculate the breakeven EBIT. Given the following information, what is your breakeven EBIT?
Number of shares Interest
A. $150,000
B. $500,000
(C) $1,000,000
D. $1,250,000
E. $1,500,000
\table[[WithNoDebt500,000,WithDebt250,000
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