Discard Manufacturing has an expected EBIT of \($18,000\) in perpetuity, a tax rate of 35 percent, and a debt-equity ratio of .75. The firm has \($54,166.67\) in outstanding debt at an interest rate of 9.5 percent, and its WACC is 9 percent. What is the value of the firm according to M&M Proposition I with taxes? Should Discard change its debt-equity ratio if the goal is to maximize the value of the firm? Explain.