Here is a simplified balance sheet for Epicure Pizza $($figures in $ millions$)$:

Note: There are $15$ million shares outstanding.

Epicure shares are currently priced at $$10$ each.

a$.$ What value should be used for debt when calculating the firm's WACC?

Note: Enter your answer in millions.

b$.$ Since Epicure issued its debt, interest rates have fallen substantially. Do you need to revise your measure of the debt ratio

upward or downward?

a$.$ Debt figure

b$.$ Do you need to revise your measure of the debt ratio upward or downward?

million