Question
Milton Industries expects free cash flow of $ 14 million each year.? Milton's corporate tax rate is 30 % ?, and its unlevered cost of
Milton Industries expects free cash flow of $ 14 million each year.? Milton's corporate tax rate is 30 % ?, and its unlevered cost of capital is 9 % . Milton also has outstanding debt of $ 95.62 ?million, and it expects to maintain this level of debt permanently.
a. What is the value of Milton Industries without? leverage?
b. What is the value of Milton Industries with? leverage?
a. What is the value of Milton Industries without? leverage? The value of Milton Industries without leverage is ?$nothing million. ? (Round to two decimal? places.)
b. What is the value of Milton Industries with? leverage? The value of Milton Industries with leverage is ?$nothing million. ? (Round to two decimal? places.)
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Fundamentals Of Financial Management
Authors: James Van Horne, John Wachowicz
13th Revised Edition
978-0273713630, 273713639
