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Business, 05.05.2020 07:00 tbixler2021

A firm has an operating profit of $300,000, interest of $35,000, and a tax rate of 40 percent. The firm has an afterdash-tax cost of debt of 5 percent and a cost of equity of 15 percent. The firm's target capital structure is set at a mix of 40 percent debt and 60 percent equity. Assuming this as the optimum capital structure, the value of the firm is .

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A firm has an operating profit of $300,000, interest of $35,000, and a tax rate of 40 percent. The f...
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