Lets imagine that Sony Corporation currently uses no-debt-00329

Lets imagine that Sony Corporation currently uses no-debt financing, it has decided to go for capital restructuring. As result it would incorporate $ 1 billion of debt at 6.6% p.a in its capital structure. Sony Corporation has 30 million Shares outstanding and the price per share is $ 125. If the restructuring is expected to increase EPS, what would be the minimum level of EBIT that Sony management must be expecting?

This multiple choice question (MCQ) is related to the book/course vu acc501 Business Finance. It can also be found in vu acc501 Mid Term - Quiz No.10.