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The Current Market Value of the Assets of ABCD Is

Question 22

Multiple Choice

The current market value of the assets of ABCD is $86.28 million.The call option value on the firm's assets is $53.09 million.What is the market value of the firm's debt?


A) $74.49 million
B) $31.36 million
C) $33.19 million
D) $44.08 million
E) $139.37 million

Correct Answer:

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