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MassGlass Corporation is a firm with $ 100 million in equity and $ 25 million in debt. The debt has maturity of 5 years. If
MassGlass Corporation is a firm with $100 million in equity and $25 million in debt. The debt has maturity of 5 years. If we view the equity of this firm as a call option, then we can evaluate this option as one whose exercise price is $ ? million, whose time to expiration is years, and whose underlying asset has a value of $ ? million.
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