Firm A has no leverage. Firm B is identical to firm A except that firm B has $250 million in perpetual debt. The value of firm A's equity is $850 million. Both firms are subject to a 28% tax rate. The earnings of both firms are assumed to be a perpetuity. According to the Modigliani and Miller propositions, what is the total value of firm B? Round all intermediate calculations to 6 decimal points. Your final answer should be within $20 of the correct answer choice. $850 million $600 million $1100 million $920 million Firm A has no leverage. Firm B is identical to firm A except that firm B has $250 million in perpetual debt. The value of firm A's equity is $850 million. Both firms are subject to a 28% tax rate. The earnings of both firms are assumed to be a perpetuity. According to the Modigliani and Miller propositions, what is the total value of firm B? Round all intermediate calculations to 6 decimal points. Your final answer should be within $20 of the correct answer choice. $850 million $600 million $1100 million $920 million