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Incorrect Question 9 0 / 1 pts Maris Corp has an EBIT rate of $2,000.000 per year that is expected to continue in perpetuity. The
Incorrect Question 9 0 / 1 pts Maris Corp has an EBIT rate of $2,000.000 per year that is expected to continue in perpetuity. The unlevered cost of equity for the company is 14% and the corporate tax rate is 30%. The company also has a perpetual bond issue outstanding paying 6% interest with a market value of $2,000,000. What is the value of the company? $ (accurate to $1) Hint: Compute the all-equity value of the company and adjust for the debt tax shield using MM II with taxes. 11.400.000
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