Multiple Choice
Marcos & Sons has no debt.Its current total value is $58 million.What will the company's value be if it sells $21 million in debt and has a tax rate of 34 percent? Assume debt proceeds are used to repurchase equity.
A) $58,220,000
B) $60,370,000
C) $62,330,000
D) $64,560,000
E) $65,140,000
Correct Answer:
Verified
Correct Answer:
Verified
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