Bird Enterprises has no debt. Its current total value is $47 million. Ignoring taxes, what will the
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Bird Enterprises has no debt. Its current total value is $47 million. Ignoring taxes, what will the company’s value be if it sells $18.4 million in debt? Suppose now that the company’s tax rate is 23 percent. What will its overall value be if it sells $18.4 million in debt? Assume debt proceeds are used to repurchase equity.
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Related Book For
Essentials of Corporate Finance
ISBN: 978-1260013955
10th edition
Authors: Stephen Ross, Randolph Westerfield, Bradford Jordan
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