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What is the maximum price hastings

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Assuming the same information for Problem 25-2, suppose Hastings will increase Vandell's level of debt after Year 3 so that the target capital structure is now 45 percent debt. Assume that with this higher level of debt the interest rate would be 8.5 percent. What is the maximum price Hastings would bid for Vandell now? 

Reference no: EM131103559

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