Question: This is a continuation of the previous question. (b) Let's assume that the company just raised $2000 via debt financing and used the entire proceeds

This is a continuation of the previous question. (b) Let's assume that the company just raised $2000 via debt financing and used the entire proceeds to repurchase equity. Work out the company's balance sheet after the transactions. Balance sheet in market values ($) Long-term assets $9,200 Long-term debt PV of interest tax shields Equity Total assets Liabilities and shareholder equity This is a continuation of the previous question. (b) Let's assume that the company just raised $2000 via debt financing and used the entire proceeds to repurchase equity. Work out the company's balance sheet after the transactions. Balance sheet in market values ($) Long-term assets $9,200 Long-term debt PV of interest tax shields Equity Total assets Liabilities and shareholder equity
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