expected return of common stock of S corp. (3,000,000 shares outstanding) is 18% per year. S. Corp has also a small amount of debt oustanding. risk free rate is 3%. Expected return on the total assets of S. Corp is 14%. Current market value of S Corp stock is $80 per share. Esimated beta of S. is 1.2 and beta of S corp debt is zero. Ignore taxes and bankruptcy costs.

What is the market value (total) of the equity of S corp?

What is the market value of the debt of S Corp?