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Problem 17-1 Firm Value Morrow Corp. has an EBIT of $965,000 per year that is...

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Problem 17-1 Firm Value Morrow Corp. has an EBIT of $965,000 per year that is expected to continue in perpetuity. The unlevered cost of equity for the company is 13 percent and the corporate tax rate is 24 percent. The company also has a perpetual bond issue outstanding with a market value of $2.75 million. What is the value of the company? (Do not round intermediate calculations and enter your answer in dollars, not millions of dollars, rounded to 2 decimal places, e.g. 1,234,567.89) Value of the company The CFO of the company informs the company president that the value of the company is $5.6 million. Is the CFO correct? Is the CFO correct

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