This is an M&M world with corporate taxes. Ashes Inc. is originally all equity financed $($unlevered$).$ All earnings are paid out as dividends, and the growth rate is zero. The firm decides to issue $$6,000,000$ in debt at $5\%$ and to use the proceeds to repurchase stock. The capital structure change is permanent $($so debt is perpetual$).$ Fill in all of the missing information in the table below.

Unlevered Levered

EBIT $3,600,0003,600,000$

INTEREST

EBT

Taxes $(25\%)$

Net Income

#Shares $500,000$

EPS

Ru $8\%8\%$

Re

Price

Firm Value $($V$)$