A ﬁrm has a 34% tax rate, EBIT of $400, total debt of $600, and an unlevered value of $1,000. What is the value of the ﬁrm with debt?
A) $604
B) $816
C) $940
D) $1,136
E) $1,204

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The Answer of A ﬁrm has a 34% tax rate, EBIT of $400, total debt of $600, and an unlevered value of $1,000. What is the value of the ﬁrm with debt?
A) $604
B) $816
C) $940
D) $1,136
E) $1,204

A ﬁRm Has a 34% Tax Rate, EBIT of $400