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Under MM (Modigliani and Miller) theory, assuming an unlevered firm is with $2 million value. The firm is considering going into $1 million debt and

Under MM (Modigliani and Miller) theory, assuming an unlevered firm is with $2 million value. The firm is considering going into $1 million debt and uses the money from debt financing to repurchase stocks. Corporate tax rate=25%. What is the levered firm's value after recapitalization?

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