Question: Answer both please QUESTION 9 Assume a firm generates $400,000 EBIT annually, pays 40% tax rate, and has 80,000 shares outstanding. Calculate TIE (times interest

Answer both please

QUESTION 9 Assume a firm generates $400,000 EBIT annually, pays 40% tax rate, and has 80,000 shares outstanding. Calculate TIE (times interest earned) if the firm decided to borrow $250,000 at 9% interest and repurchases stock with the proceeds. The current stock price is $25/share. 12.8 14.6 10.0 17.8 QUESTION 10 What is the payback period for a project with the following annual cash flows: CFO=-$100; CF1=$60; CF2=$80? 1.5 years 1 years 1,4 years 1.3 years

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