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Can you answer this questions? Thank you! Question 13 of 25 1 Points Your company is worth $100 million and is financed 100% with equity.

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Question 13 of 25 1 Points Your company is worth $100 million and is financed 100% with equity. You decide to buyback equity of $40 million and issue debt of $40 million. The debt is permanent with a coupon rate of 6%. Your investment bankers will charge you $500,000 to issue $40 million in debt and repurchase $40 million in equity. Your company has a tax rate of 35%The capital structure shift won't change your investment plans. What will be the new value of your company after the change in capital structure? O A. $113.5 million OB. $97.6 million C. $100 million OD. $135.5 million Reset Selection

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