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Zizou Acquatics wants to compare two possible capital structures. In the first, the company would have 175,000 shares of stock outstanding. In the second, the

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Zizou Acquatics wants to compare two possible capital structures. In the first, the company would have 175,000 shares of stock outstanding. In the second, the company would have 125,000 shares of stock outstanding and $2.5 million in debt outstanding. The interest rate on the debt is 8 percent annually, and there are no taxes. What is the break-even EBIT under these two capital structuures? (Enter your answer in whole dollars, not millions of dollars, e.g., 1,234,567.) Break-even EBIT $

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