Eccles Inccorporated Eccles Incorporated, a zero growth firm, has an expected EBIT of $100,000 and a corporate tax rate of 25%. Eccles uses $500,000 of 12.0% debt, and the cost of equity to an unlevered firm in the same risk class is 16.0%. Refer to the data for Eccles Incorporated. What is the value of the firm according to MM with corporate taxes?

a. $593,750

b. $534,375

c. $718,438

d. $480,938

e. $653,125