Modigliani Co. expects its EBIT to be $105,000 every year forever. The firm can borrow at 6 percent per year. Modigliani currently has no debt, and its cost of equity is 14 percent per year. Suppose the tax rate is 0%, and there are no costs to bankruptcy. Calculate the value of the firm if they choose to increase their debt to equity ratio to 1/2.

[Express your answer rounded to the nearest dollar (i.e. $123456). Do NOT use commas in your response.]

Firm Value = $