EBIT-EPS and capital structure Data-Check is considering two capital structures.The key information is shown in the following table. Assume a 40% tax rate.
Use $50,000 and $60,000 for the two EBIT numbers.
See the attached file.© BrainMass Inc. brainmass.com June 3, 2020, 11:51 pm ad1c9bdddf
The solution presents a detailed solution to the analysis of different capital structures.