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Suppose the firm has a value of $177,545.46 when it is all equity financed. Now assume the firm issues $56,000 of debt paying interest of

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Suppose the firm has a value of $177,545.46 when it is all equity financed. Now assume the firm issues $56,000 of debt paying interest of our year and uses the proceeds to retire equity. The debt is expected to be permanent What will be the value of the firm? Enter your answer rounded to two decimal places. 198265.46 Correct response: 198,265.460.01 What will be the value of the equity after the debt issue? Enter your answer rounded to two decimal places. 142265.46 Correct response: 142,265.460.01 Click "Vority" to proceed to the next part of the question Suppose that with the $56,000 of debt the firm has a value of $198.265.46 and a value of equity of $142.265.46. What will be the expected rate of rotum on the equily? Enter your answer as a percentage rounded to two docimal places. Do not include the percentago sign as part of your answer. Number Click "Verity to proceed Section Attempt 1 of 1 Verify Mackinnon Co, currently has EBIT of 531,000 and is all equity financed. EDIT are expected to grow at a rate of 4% per year. The firm pays corporate taxes equal to 37% of taxable income. The cost of equity for this firm is 15% What is the market value of the turm? Enter your answer rounded to two decimal places 177545.45 Correct response 177.545. 460.01 Click "Verity to proceed to the next part of the question . Suppose the firm has a value of $177,546.48 when it is all equity financed. Now assume their issues 550,000 of debt paying Interest of 9% per year and uses the proceeds to retire equity. The debt is expected to be permanent What will be the value of the firm? Enter your answer rounded to wo decimal places 198265.46 correct responses 190,265.460.01 What will be the value of the equity after the debt inaue? Enter your answer founded to two decimal placon 142265.46 correct response 122.26. 10.01 Click "Vority to proceed to the next part of the question Suppoon that we 56.000 of debt the firm has a value of 518.265.46 and a value of equity of 8142.265.46 What will be the expected rule of return on the equity? Enitet your newer is a percentage rounded to two decinat places. Do not include the percentage son as pert at your newer Number Claverity to proceed

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