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University Center Co. currently has EBIT of $40,000 and is all equity financed. EBIT is expected to stay at this level indefinitely. The firm pays

University Center Co. currently has EBIT of $40,000 and is all equity financed. EBIT is expected to stay at this level indefinitely. The firm pays corporate taxes equal to 20% of taxable income. The cost of equity for this firm is 15%.

What is the market value of the firm?

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