Hanover Tech is currently an all equity firm that has 130,000 shares of stock outstanding with...
Hanover Tech is currently an all equity firm that has 130,000 shares of stock outstanding with a market price of $36 a share. The tax rate is 35 percent. The firm is considering adding $1.5 million of debt. What is the new firm value after adding the debt?
A.) 3.705m
B.) 4.68m
C.) 5.205m
D.) 6.18m
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Hanover Tech is currently an all equity firm that has 130,000
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