Edwards Construction currently has debt outstanding with a market value of $72,500 and a cost of 7 percent. The company has EBIT of $5,075 that is expected to continue in perpetuity. Assume there are no taxes.

What are the equity value and debt-to-value ratio if the company's growth rate is 3 percent? (Do not round intermediate calculations and round your "Debt-to-value" answer to 3 decimal places, e.g., 32.161.) Equity value $ Debt-to-value

What are the equity value and debt-to-value ratio if the company's growth rate is 5 percent? (Do not round intermediate calculations and round your "Debt-to-value" answer to 3 decimal places, e.g., 32.161.) Equity value $ Debt-to-value