Bruce & Co. expects its EBIT to be $140,000 each year in perpetuity. The company can get a loan at a rate of 9%. "Bruce" has no outstanding debt and its cost of capital is 17%. If the tax rate is 35% a) What will be the value of the company? b) What will be the value if Bruce borrows $135,000 and uses the funds to buy back the shares? c) what is the cost of capital after recapitalization? What will the WACC be?