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An unlevered firm that has 5,764 shares outstanding. The corporate tax rate is 20%. It is now considering borrowing $8,494 at 6.5% interest to repurchase
An unlevered firm that has 5,764 shares outstanding. The corporate tax rate is 20%. It is now considering borrowing $8,494 at 6.5% interest to repurchase 1,075 shares. Calculate the value of this unlevered firm.
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