Trudy's Pizza Is an Unlevered fiRm with an After-Tax Net

question 226

Multiple Choice

Trudy's Pizza is an unlevered firm with an after-tax net income of $47,000. The unlevered cost of capital is 7.5% and the tax rate is 35%. What is the value of this firm?

• A) $219,333
• B) $328,333
• C) $407,334
• D) $626,667
• E) $733,333

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Definitions:

U.S. Labor Law

A body of laws, regulations, and precedents which address the legal rights and restrictions of working people and their organizations in the United States.

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