Question: Cede & Co. can borrow at 9.50 percent. Cede currently has no debt, and the cost of equity is 15.00 percent. The current value of

$Cede \& Co. can borrow at 9.50 percent. Cede currently has$

Cede \& Co. can borrow at 9.50 percent. Cede currently has no debt, and the cost of equity is 15.00 percent. The current value of the firm is $646,000. The corporate tax rate is 30 percent. Required: What will the value be if Cede borrows $217,000 and uses the proceeds to repurchase shares? $345,700$711,100$797,900$863,000$410,800

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