Victoria Dry Goods has expected earnings before interest and taxes of $14,600, an unlevered cost of capital of 15%, and a tax rate of 35%. The company also has $3,500 of debt that carries a 6% coupon. The debt is selling at par value. What is the value of this firm?

A) $63,267
B) $64,184
C) $64,492
D) $65,211
E) $66,267

Unlevered Cost

The cost of an investment or project without the inclusion of debt, representing the underlying cost to equity holders.

Tax Rate

The percentage at which an individual or corporation is taxed, which can vary according to income or profits.

Coupon

The interest rate paid by a bond, typically expressed as a percentage of the bond's face value.