An all$-$equity firm has $9,000$ shares of stock outstanding at a market price of $$27$ per share. Management has decided to issue $$25,000$ worth of debt and use the funds to repurchase shares of the outstanding stock. The interest rate on the debt will be $7\mathrm{.}3$ percent. What are the earnings per share at the break$-$even level of earnings before interest and taxes? Ignore taxes.

Multiple Choice

$$1\mathrm{.}92$

$$1\mathrm{.}67$

$$2\mathrm{.}28$

$$1\mathrm{.}97$

$$2\mathrm{.}12$