i need help with this 2 questions with clear explanation

% elo-13 re( )+0.1(076) S E 0.270 2 2.6 (rv-0.1)rv-1.6r Question 2 o.2704 = ru : La Desgracia is currently an all equity firm that has 400,000 shares of stock out- standing with a market price of S30 a share. The current cost of equity is 11.0% and the tax rate is 32%. The firin is considering adding $3.0 million of debt with a coupon rate of 8.0% to its capital structure. The debt will be sold at par value. What is the levered value of the firm's equity? VVz Os9 960 million- 000) 000 b. $11.040 million c. $12.960 million d. $8.050 million e. $9.000 million EL 12.14-3 9.96 Question S is currently an all equity firm that has 2,400,000 shares of stock cost of equity is outstanding with a market price of $28 a share. The current 12.0% and the tax rate is 38%. The firm is considering adding $13.8 million of debt with a coupon rate of 8.0% to its capital structure. The debt will be sold at value. What are the perpetual annual cash flows available to be paid to the levered firm? ordinary shareholders in the newly Vo 67.2 a)s7.380 million p.a. $13.596 million p.a. c. $10.115 million p.a. d. $4.865 million p.a. e. $16.638 million p.a. t 2.444 EL =72.44-13.858-64 FINS1613 2019 T1 CAPITAL STR RE CHAPT