Question
A company has an un-leveraged value of 2,000,000 and debt 200,000.If the company is subject to a corporate tax rate of 0.30, and investors in
A company has an un-leveraged value of 2,000,000 and debt 200,000.If the company is subject to a corporate tax rate of 0.30, and investors in the company are subject to a tax rate of 0.05 on equity income and 0.30 on debt income, what is the company's value?
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Business Forecasting
Authors: John E. Hanke, Dean Wichern
9th edition
132301202, 978-0132301206
