TB MC Qu$.16-65$ An all$-$equity firm has a weighted...

An all$-$equity firm has a weighted average cost of capital of $14\mathrm{.}4$ percent. The current market value of its equity is $$2,652,000.$ Assume there are no taxes. According to M&M Proposition II$,$ what will be the value of the company if it changes to a debt$-$equity ratio of $\mathrm{.}42?$

Multiple Choice

$$2,729,350$

$$6,314,286$

$$11,027,016$

$$2,652,000$

$$5,012,280$