King Island Resorts has no debt. Its current total value is $45 million. What will the company's value be if it sells $21 million in debt securities and has a tax rate of 30%, assuming that the proceeds will be used to purchase equity?

Select one:

a.$52 300 000

b.$51 300 000

c.$55 140 000

d.$50 300 000

e.$51 700 000