Find the ebit breakeven point

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Problem: Find the EBIT breakeven point using the information below:

Plan A: $42 million in debt, 5.25% interest rate, $80 million in equity, 2 million shares of equity, Tax rate under both plans: 32%.

Plan B: $62 million in debt, 6.75% interest rate, $60 million in equity, 1.5 million shares of equity.

Reference no: EM132419239

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