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17 estion 17 Linkcomn expects an Earnings after Taxes of 750005 every year. The firm currently has 100% Equity and cost of raining equity is

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17 estion 17 Linkcomn expects an Earnings after Taxes of 750005 every year. The firm currently has 100% Equity and cost of raining equity is 10% the company can bonow de with an et of 10% What will be the value of the company if the company takes on a debt equal to 60% of its unlevered value? What will be the value of the company the company takes on a duit a to 50% of value? Assume the company's tax rate is 20% (Must show the steps of calculation) For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac) BIUS Paragraph Arial 10pt V EEV A 2 IX

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