Question: ( Using EBIT - EPS break - even analysis ) Home Depot, Inc. ( HD ) , had 1 2 4 4 million shares of
Using EBITEPS breakeven analysis Home Depot, Inc. HD had million shares of common stock outstanding in whereas Lowes Companies, Inc. LOW had million shares outstanding. Assuming Home Depot's interest expense is $ million, Lowes' interest expense is $ million, and a percent tax rate for both firms, what is their breakeven level of operating income ie the level of EBIT where EPS is the same for both firms
The EBIT indifference level is $ Round to the nearest dollar.
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