Salt Inc. is an all-equity firm currently worth $1,400,000 and there are 50,000 shares outstanding. The firm pays a 40% corporate tax rate. Suppose that Salt has decided to issue $800,000 of debt at a 7% interest rate and will use the proceeds to repurchase shares. What would be the stock price of Salt after it has announced the debt issue but before the share repurchase? a) $28.00 (b) $34.40 c) $38.12 d) $44.20 e) $50.40