14. Bassett Fruit Farm expects its EBIT to be $369,000 a year forever. Currently, the firm has no debt. The cost of equity is 13.1 percent and the tax rate is 34 percent. The company is in the process of issuing $2.9 million worth of bonds at par that carry an annual coupon of 6.7 percent. What is the unlevered value of the firm?

• $1,673,176

• $2,455,366

• $1,859,084

• $2,845,084

• $2,065,649