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Business, 14.05.2021 16:20 mcaninch36

Pagemaster Enterprises is considering a change from its current capital structure. The company currently has an all-equity capital structure and is considering a capital structure with 30 percent debt. There are currently 2,150 shares outstanding at a price per share of $70. EBIT is expected to remain constant at $20,000. The interest rate on new debt is 10 percent and there are no taxes. a. Rebecca owns $30,100 worth of stock in the company. If the firm has a 100 percent payout, what is her cash flow

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