Home Depot, Inc. (HD), had 1,244 million shares of common stock outstanding in 2016 whereas Lowe's Companies,

Question:

Home Depot, Inc. (HD), had 1,244 million shares of outstanding in 2016 whereas Lowe's Companies, Inc. (LOW), had 929 million shares outstanding. Given the 2016 earnings levels found in Study Problems 15-9 and 15-10 and a 35 percent tax rate for both firms, what is their break-even level of operating income (i.e., the level of EBIT where EPS is the same for both firms)?
Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on...