The capital structure data of RBC factory in the beginning of year 2021 is reported...
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The capital structure data of RBC factory in the beginning of year 2021 is reported below Total Capital: 55000 Million Debt 10% interest: 6596 Equity 3596 Price per share $100 Tax rate 30% if the company is planning to increase debt in future without changing the total capital usage (equity capitale deceased proportionately), what should be the break even EBIT to maintain the same level of EPS in all levels of debt usage. Aralpe your results and comment The capital structure data of RBC factory in the beginning of year 2021 is reported below Total Capital: 55000 Million Debt 10% interest: 6596 Equity 3596 Price per share $100 Tax rate 30% if the company is planning to increase debt in future without changing the total capital usage (equity capitale deceased proportionately), what should be the break even EBIT to maintain the same level of EPS in all levels of debt usage. Aralpe your results and comment
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