Question: Imm Question 1 points Seat Linkcomn expects an Eamings before Taxes of 750000$ every year. The firm cumenty has 100% Equity and cost of raising

 Imm Question 1 points Seat Linkcomn expects an Eamings before Taxes

Imm Question 1 points Seat Linkcomn expects an Eamings before Taxes of 750000$ every year. The firm cumenty has 100% Equity and cost of raising equity is 15%. If the company can bomow debt with an vierest of 10% value of the company if the company takes on a debt equal to 60% of its lovered value? What will be the value of the company of the company takes on a debt equal to 40% of its levered value? Assume the company's tax rate is 30% (Must show the steps of calculation)

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