Foundation Corporation is comparing two different capital structures, an all-equity plan (Plan I) and a levered plan (Plan II). Under Plan I, the company would have 200,000 shares of stock outstanding. Under Plan II, there would be 150,000 shares of stock outstanding and $2.15 million in debt outstanding. The interest rate on the debt is 5 percent and there are no taxes.

a.	Use MM Proposition I to find the price per share. (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
b.	What is the value of the firm under each of the two proposed plans?