11] You are considering using the APV approach to evaluate the effect on value of having debt at Systech, a technology company. The company currently has a market capitalization (market value of equity) of $900 million and $100 million in debt outstanding (market and book value). If the marginal tax rate is 40%, the current probability of bankruptcy is 10% and the cost of bankruptcy is 30% of overall firm value (equity plus debt), estimate the value of the firm with no debt. See formula firm value.