Calculate the market value of lotle group


Calculate the market value of Lotle Group, a firm with total assets of $80 million and $30 million of perpetual debt in its captital structure. The firm's cost of equity is 14% and the cost of debt is 9%. Lotle expects annual, perpetual net operationg income (EBIT) of $9 million and the marginal tax rate is 40%.

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Finance Basics: Calculate the market value of lotle group
Reference No:- TGS053730

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