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Business, 20.04.2020 20:31 aprilpendergrass

Tool Manufacturing has an expected EBIT of $ 39,000 in perpetuity and a tax rate of 33 percent. The firm has $ 80,000 in outstanding debt at an interest rate of 11 percent, and its unlevered cost of capital is 15 percent. The value of the firm is $ according to MM Proposition I with taxes.

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Tool Manufacturing has an expected EBIT of $ 39,000 in perpetuity and a tax rate of 33 percent. The...
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