You currently own 1200 shares of SkyTech Inc. SkyTech is an all-equity firm that has 250,000 shares of stock outstanding at a market price of $30 a share. The company's earnings before interest and taxes are $300,000. Assume no corporate taxes. SkyTech has decided to issue $3,375,000 of debt at 6 percent interest. This debt will be used to repurchase shares of stock of the company. If you prefer the original capital structure of 100% equity and the associated payoffs, you will take which of the following actions to achieve the original payoffs (under 100% equity)?

A. borrow $36,000 at 6% and use the entire amount to purchase additional shares of SkyTech

B. borrow $18,000 at 6% and use the entire amount to purchase additional shares of SkyTech

C. borrow $16,200 at 6% and use the entire amount to purchase additional shares of SkyTech

D. sell 600 shares of SkyTech and loan out the proceeds at 6%

E. sell 540 shares of SkyTech and loan out the proceeds at 6%