23.

The following data apply to the next two questions Laval Mining Company expects an EBIT of $19.750 every year, Laval Mining currently has no debt and its cost of equity is 15%. The firm can borrow at 10% and the corporate tax is 40% 23 of 24 Mar According to M&M proposition I with taxes, what is the value of the firm? O a $85,400 O b. $88,100 OC. $89,500 O d. $97,000 e. None of the above Unsure