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River Cruises is all-equity-financed. Suppose it now issues $250,000 of debt at an interest rate of 10% and uses the proceeds to repurchase 25,000 shares.

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River Cruises is all-equity-financed. Suppose it now issues $250,000 of debt at an interest rate of 10% and uses the proceeds to repurchase 25,000 shares. Assume that Note: Do not round intermediate calculations. Round impact on firm value. Refer to the above table to compute the missing data. percent rounded to 2 decimal places

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