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Corporation B expects an EBIT of $[(2+20+1)*1,000,000] every year forever. The company currently has no debt and its cost of equity is [8+9]%. The tax

Corporation B expects an EBIT of $[(2+20+1)*1,000,000] every year forever. The company currently has no debt and its cost of equity is [8+9]%. The tax rate is [35+1+6]%. Suppose the company can borrow...

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