Two firms, No Leverage Inc. and High Leverage Inc. have equal levels of operating risk and differ only in their capital structure. No Leverage is unlevered and High Leverage has $$500,000$ of perpetual debt in its capital structure. Assume that the perpetual annual income of both firms available for stockholders is paid out as dividends. Hence, the growth rate for both firms is zero. The income tax rate for both firms is $40$ percent. Assume that there are no financial distress costs or agency costs. You are given the following data:

$\backslash$table$[[,$No Leverage, Inc.,High Leverage, Inc.$],[$Equity in capital structure,$$1,000,000,$$$500,000$