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Moving to another question will save this response. Question 13 of 21 tion 13 2 points Save Answe An all-equity firm with 200,000 shares outstanding,

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Moving to another question will save this response. Question 13 of 21 tion 13 2 points Save Answe An all-equity firm with 200,000 shares outstanding, Antwerther Inc., has $2,000,000 of EBIT, which is expected to remain constant in the future. The company DRVE out all of its earnings, so earnings per share (EPS) equal dividends per shares (DPS). Its tax rate is 40% The company is considering issuing $5,000,000 of 10.0% bonds and using the proceeds to repurchase stock. The risk-free rate is 6.5%, the market risk premium 5.0%, and the beta is currently 0.95, but the CFO believes beta would rise to 1.10 if the recapitalization cours Assuming that the shares can be repurchased at the price that existed prior to the recapitalization, what would the price be following the recapitalization $65.77 $69.23 $70.59 $71.33 $74.14 Question 13 of 21 Moving to another question will save this response

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