4. Adding growth to the model Aa Aa Carlson Co. has a value of $40 million. Baker is otherwise identical to Carlson Co., but has $16 million in debt suppose that both firms are growing at a rate of 5%, the corporate tax rate is 38%, the cost of debt is 6%, and Carlson's cost of equity is 9% (assume rsu is the appropriate discount rate for the tax shield). Use the Modigliani and Miller theory extension for growth to complete the following table: Carlson Co Baker Corp. $40 million | Value of the firm Value of the stock Cost of equity $40 million 990 |