Taunton's is an all-equity firm that has 154,000 shares of stock outstanding. The CFO is considering borrowing
$269,000
at 7 percent interest to repurchase 23,000 shares. Ignoring taxes, what is the value of the firm? Multiple Choice $1,886,899 $1,801,130
$2,216,776
$2,058,435

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Taunton's is an all-equity firm that has 154,000 shares of stock outstanding. The CFO is considering borrowing

$269,000

at 7 percent interest to repurchase 23,000 shares. Ignoring taxes, what is the value of the firm? Multiple Choice $1,886,899 $1,801,130

$2,216,776

$2,058,435

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