GLOBE Inc is an all-equity-financed company currently worth 32 million with 5 million of shares outstanding. The company has decided to leverage up and replace 12 million of equity with debt. They expect the cost of debt to be 6%. If the tax rate is 30% and assuming all conditions hold in perpetuity

show the market value balance sheets -

1) before the change of capital structure is announced

2) at the time the change is announced

3) when the change is completed