HELPPPP !!!!

The two companies Azur" and "Nadir" are part of the same risk class. They are identical in everything except as regards their indebtedness. The Azur" company has no debts, while the Nadir company is in debt of 2,000,000S at 20% per year. The net operating profit for each of these companies is 1200000S per year The capitalization rate of equity is 25% for Azur and 30% for Nadir. We assume that these companies are not subject to income tax. Work to be done: 1. Calculate the total value of each of these two companies. 2. Does a shareholder A who owns Nadir shares for 5000S have an interest in carrying out an arbitrage transaction? 3. Now consider a shareholder B who owns Azur shares for $ 6,000. Show how he can increase his return by taking on X amount of debt and buying Azur shares. Does the return of shareholder B increase with X