unta $3$

esponder

Cuellar's has debt with a book value of $$285,000$ and a market value of $$263,000.$ The firm's equity has a book value of $$418,000$ and a market value of $$612,000.$ The tax rate is $21$ percent and the cost of capital is $12\mathrm{.}4$ percent. What is the market value of this firm based on MM Proposition I without taxes?

a$.$ $$875,000$

b$.$ $$837,150$

c$.$ $$703,000$

d$.$ $$819,770$

e$.$ $$897,000$