Question: Here we consider two companies, Phil Co. and Billy Co. Both of these companies are exactly alike except Phil Co. has outstanding debt of $2,259

Here we consider two companies, Phil Co. and Billy Co. Both of these companies are exactly alike except Phil Co. has outstanding debt of $2,259 and 461 shares of stock outstanding while Billy Co is all equity financed and has 773 shares of stock outstanding. The outstanding debt is a perpetuity with annual coupons at 6%. EBIT is $2,267. Assume a tax rate of 30%.

What is Billy Co.'s EPS?

[Enter your answer to two decimal places]

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