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A firm is all equity with 20,000 shares outstanding, with a current price per share of $24.09. The company is considering issuing $180,000 in debt with a 12% interest rate and buying back shares with all of the proceeds. Assume there are no taxes. What is the break-even EBIT for the firm?

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M92054695

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