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A company just issued $465000 of perpetual 9% debt and used the proceeds to repurchase stock. The company expects to generate 125000 of EBIT in

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A company just issued $465000 of perpetual 9% debt and used the proceeds to repurchase stock. The company expects to generate 125000 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 40%. What is the value of the company as an unlevered firm

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