1. Firm A is deciding whether to be levered or unlevered. The all-equity capital structure would consist of 60,000 shares of stock. The debt and equity option would consist of 45,000 shares of stock plus $250,000 of debt with an interest rate of 7.25 percent. What is the break-even level of earnings before interest and taxes between these two options? Ignore taxes. (Breakeven for EPS)

Construct a line perpendicular to the line ab to create four congruent quadrants. b. construct six equal sections around the circle using the original radius as a guide. c. construct another point c anywhere on the circle to be the third vertex of her triangle. d. draw arcs above and below line ab to show where the triangle sides meet.