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QUESTION 12 Value a company's current firm value if debt cost of capital for a firm is 4.5%, unlevered cost of capital is 7%. Assume

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QUESTION 12 Value a company's current firm value if debt cost of capital for a firm is 4.5%, unlevered cost of capital is 7%. Assume your tax rate is 40%. Here are the firm's FCFs and debt levels by year Timeo 1 2 FCF 20 32 18 Debt 30 20 10 Assume that these debt levels are predetermined debt level What is the unlovered firm value? A. 61.33 B. 62.30 G. 62.33 D. 63.35 E 63.38 9 What is the levered firm value? F 04.12 G. 65.00

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