Figure 121: Selected Information for Crane Manufacturing Inc -Given the Information in Figure 12

Multiple Choice

Figure 12.1: Selected information for Crane Manufacturing Inc.
$$\begin{array} { | l | c | c | } \hline & \text { ALL EQUTTY } & \text { EQUTYY AND DEBT } \\\hline & & \\\hline \text { Number of shares } & 500,000 & 300,000 \\\hline \text { Interest expense } & \$ 0 & \$ 100,000 \\\hline \text { Tax rate } = 30 \% & & \\\hline\end{array}$$
-Given the information in Figure 12.1,what is the break-even EBIT-EPS for Crane Manufacturing Inc.?

A) EBIT = $100,000 and EPS = $0.15
B) EBIT = $250,000 and EPS = $0.35
C) EBIT = $350,000 and EPS = $0.45
D) EBIT = $400,000 and EPS = $0.65