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Determine the value of Firm A according to MM with corporate taxes, based on the following information: EBIT: $250,000 r d : 12% T c

Determine the value of Firm A according to MM with corporate taxes, based on the following information:

EBIT: $250,000

r_d: 12%

T_c: 40%

Debt: $500,000

r_sU: 16%

	a.	$1,475,875
	b.	$1,646,250
	c.	$1,137,500
	d.	$1,587,500

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