A firm will earn a taxable net return of $700 next year. If it took on debt today, it would have to pay creditors an expected return based on the following formula: E(rDebt) = 2% + 6%*WDebt. Further, assume that the firms cost of capital is 8%. There are no costs of financial distress. The firms tax rate is 26%.a.(2 points) If the firm is fully equity-financed, what is its value today?b. (3 points) Using APV, if the firm is financed with 30% debt today, what is its value? Assume the interest tax shield is discounted at the expected cost of debt.c.(3 points) Using WACC, if the firm is financed with 80% debt today, what is its value?