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9. A firm is currently financed with 40% equity and 60% debt. The firm generates perpetual net income of $2 million per year. The firm's

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9. A firm is currently financed with 40% equity and 60% debt. The firm generates perpetual net income of $2 million per year. The firm's cost of equity is 16%, its cost of debt is 5%, and it has a tax rate of 40%. What is the value of this firm? A) $30.3 million B) $24.4 million C) $2 million D) $10 million E) $25.6 million

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