Given the following information for Kailey Company and Cisco Company, determine the difference in the entities theoretical value of equity:

	Kailey	Cisco
Net Operating Assets	$450	$450
Owners Equity	$450	$450
RNOA	15%	15%
ROE	15%	15%
WACC	10%	13%
Expected Growth rate in ROPI	8%	8%

Select one:

a. $945

b. $-0-

c. $180

d. $1,575