Question: grommit engineering is considering two different financial plans. Under plan A the interest is 10%on $100,000 face value bonds, with 2000 shares of common stock
grommit engineering is considering two different financial plans. Under plan A the interest is 10%on $100,000 face value bonds, with 2000 shares of common stock outstanding. Under plan B the interest is $20000. If the indifference point is $50000 and the tax rate is 30%, how many shares of common stock are outstanding for plan B?
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