Refi Corporation is planning to repurchase part of its common stock by issuing corporate debt. As a result, the firm's debt$-$equity is expected to rise from $35$ percent to $50$ percent. The firm currently has $$2\mathrm{.}7$ million worth of debt outstanding. The pretax cost of debt is $6\mathrm{.}4$ percent. The firm expects to have an aftertax earnings of $$940,000$ per year in perpetuity. The corporate tax rate is $21$ percent.