Use the information for the question(s)below.
Consider two firms,With and Without,that have identical assets that generate identical cash flows.Without is an all-equity firm,with 1 million shares outstanding that trade for a price of $24 per share.With has 2 million shares outstanding and $12 million in debt at an interest rate of 5%.
-According to MM Proposition 1,the stock price for With is closest to:
A)$8.00.
B)$24.00.
C)$6.00.
D)$12.00.

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The Answer of Use the information for the question(s)below.
Consider two firms,With and Without,that have identical assets that generate identical cash flows.Without is an all-equity firm,with 1 million shares outstanding that trade for a price of $24 per share.With has 2 million shares outstanding and $12 million in debt at an interest rate of 5%.
-According to MM Proposition 1,the stock price for With is closest to:
A)$8.00.
B)$24.00.
C)$6.00.
D)$12.00.

Use the Information for the Question(s)below