Question: Please make sure the answers are correct and explain how you got them, thanks! Fujto, Incorporated, has no debt outstanding and a total market value

Please make sure the answers are correct and explain how you got them, thanks!
Please make sure the answers are correct and explain how you got

Fujto, Incorporated, has no debt outstanding and a total market value of $220,000. Earnings before interest and taxes, EBI. are projected to be $36,000 if economic conditions are normal. If there is strong expansion in the economy, then EBIT will be 18 percent higher. If there is a recession, then EBIT will be 25 percent lower. The company is considering a $125.000 debt issue with an interest rate of 8 percent The proceeds will be used to repurchase shares of stock. There are currently 11,000 shares outstanding. Ignore taxes for this problem 9-1. Calculate earnings per share, EPS, under each of the three economic scenarios before any debt is issued. Note: Do not round intermediete calculations and round your answers to 2 decimal places, e.9., 32.16. 0.2. Caiculate the percentage changes in EPS when the economy expands or enters a recession. Note: A negative answer should be indicated by a minus sign. Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimbl places, e.g., 32.16. b-1. Calculate earnings per share, EPS, under each of the three economic scenarios assuming the company goes through with recopitalizotion Note: Do not round intermediate calculations and round your enswers to 2 decimal places, e.9., 32.16. b-2. Given the recapitalization, calculate the percentage changes in EPS when the economy expands or enters a recession. Note: A negotive answer should be indicated by a minus sign. Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal ploces, e.g., 32.16

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