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Retro Gym has three creditors: a bank with seniority in the amount of $350, Senior Bondholders in the amount of $190, and a steel

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Retro Gym has three creditors: a bank with seniority in the amount of $350, Senior Bondholders in the amount of $190, and a steel trade creditor with no priority in the amount of $40. Retro Gym has proposed the following two debt restructuring plans. How much does the Bank prefer its preferred plan to its less preferred plan? / And is there a creditor coordination? Plan A: 50% chance the value of the firm -$690 50% chance the value of the firm = $90 Plan B: 30% chance of the value of the firm - $410 70% chance the value of the firm $135

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