Explain using modigliani-miller framework determining market

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Explain Using Modigliani-miller framework determining market value

Firm U is an unlevered firm with $2.5 million of EBIT, tax rate 34%, and a 10% required return on equity.

In the Modigliani-Miller framework, what is the market value of the unlevered firm U?

Reference no: EM1317075

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