A company just issued $$225000$ of perpetual $6\%$ debt and used the proceeds to

repurchase stock. The company expects to generate $109000$ of EBIT in perpetuity.

The company distributes all its earnings as dividends at the end of each year. The

firm's unlevered cost of capital is $15\%$ and the tax rate is $25\%.$ Use FTE to calculate

the value of the company's equity.