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20-12-2022
Business

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summer tan, inc., is an all-equity firm with a total market value of $718,000 and 46,700 shares of stock outstanding. management believes the earnings before interest and taxes (ebit) will be $94,500 if the economy is normal. if there is a recession, ebit will be 25 percent lower, and if there is a boom, ebit will be 35 percent higher. the tax rate is 40 percent. what is the eps in a boom?

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