Problem 24-7 Equity as an Option (L04] Rackin Pinion Corporation's assets are currently worth $1,140. In one year, they will be worth either $1,100 or $1,390. The risk-free interest rate is 7 percent. Suppose the company has an outstanding debt issue with a face value of $1,000. a.What is the value of the equity? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Equity value b-1. What is the value of the debt? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Debt value b-2. What is the interest rate on the debt? (Do not round intermediate calculations and enter your answer as a percent rounded to the nearest whole number, e.g., 32.) Interest rate %