Tire manufacturer NeverFlat Corp

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Tire manufacturer NeverFlat Corp. posts revenue of $116 million on costs of $80 million every year. Its marginal tax rate is 25.0%. Without any debt, its cost of capital is 10.5%. There are 4.8 million shares outstanding. PART A: Compute the value of the unlevered firm under the assumption that firm performance will be the same every year. million. (Round to 2 decimal places.) PART B: The firm issues $55.5 million of permanent debt at 5.7% to finance some needed capital expenses. Compute the tax savings per year to the firm from issuing the debt. million. (Round to 3 decimal places.) PART C: Compute the levered value of the firm. million. (Round to 2 decimal places.) PART D: What is the fair share price of the levered firm? (Round to 2 decimal places.)