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An unlevered firm has earnings before taxes of $37.5 million a year forever. The tax rate is 20%. If the return on equity for

An unlevered firm has earnings before taxes of $37.5 million a year forever. The tax rate is 20%. If the return on equity for this firm is 15%, what is the value of the firm? $30 million. 26.09 million $200 million O $158 million $20.61 million.

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