We want to determine the Value of a levered firm on January 1st, 2021. The company is expected to generate an EBIT of $400,000 on December 31st, 2021. The net working capital is not expected to increase and the depreciation expenses will equal capital expenditures. We also know that the company will distribute a dividend per share of $6 at the end of the year and that the growth rate of the earnings and dividends is 6%. The price per share of this company on January 1st, 2021 is $50. If the company has a debt to value ratio (D/V) equal to 20% and its cost of debt (rd) is 4%, what is the market value of the levered firm? Assume a corporate tax rate of 25%.