Company decided to change its capital structure. Long term loan will be increased from 3 million to 20 million. Interest rate for loan is 9% annually. Additional loan will be used for share payback. Company has 2 million shares in the market with current price of 17.00 euros. Find a break-even EBIT level Find EPS with break-even EBIT Solutions and Formulas in Excel! Please answer fast i give you upvote.
Company decided to change its capital structure. Long term loan will be increased from 3 million to 20 million. Interest rate for loan is 9% annually. Additional loan will be used for share payback. Company has 2 million shares in the market with current price of 17.00 euros. Find a break-even EBIT level Find EPS with break-even EBIT Solutions and Formulas in Excel! Please answer fast i give you upvote.
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Company decided to change its capital structure. Long term loan will be increased from 3 million to 20 million.
Interest rate for loan is 9% annually. Additional loan will be used for share payback.
Company has 2 million shares in the market with current price of 17.00 euros.
Find a break-even EBIT level
Find EPS with break-even EBIT
Solutions and Formulas in Excel!
Please answer fast i give you upvote.
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