Question: Dollar General ( DG ) is choosing between financing itself with only equity or with debt and equity. Regardless of how it finances itself, the

Dollar General (DG) is choosing between financing itself with only
equity or with debt and equity. Regardless of how it finances itself, the
EBIT for DG will be $657 million. If DG does use debt, the interest
expense will be $85 million. If DG's corporate tax rate is 0.26, how
much will DG pay (in millions) in total to ALL investors if it uses both
debt and equity?

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