Question: In Problem 4, use MM Proposition I to find the price per share of equity under each of the two proposed plans. What is the

In Problem 4, use MM Proposition I to find the price per share of equity under each of the two proposed plans. What is the value of the firm?
In problem
Yasmin is comparing two different capital structures, an all- equity plan (Plan I) and a levered plan (Plan II). Under Plan I, Yasmin would have 170,000 shares of stock outstanding. Under Plan II, there would be 120,000 shares of stock outstanding and $1.675 million in debt outstanding. The interest rate on the debt is 8 percent and there are no taxes.

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