Cooke Co. is comparing two different capital structures. Plan I would result in 8,700 shares of stock and $399,000 in debt. Plan II would result in 12,500 shares of stock and $239,400 in debt. The interest rate on the debt is 11 percent. The all-equity plan would result in 18,200 shares of stock outstanding. Ignore taxes for this problem.
Required: (a) What is the price per share of equity under Plan I?
Price per share ___
(b) What is the price per share of equity under Plan II?
Price per share ____