Teaching UGC NET Mock Test Series 2025 (Paper 1 & 2) Business Finance

What is the value of a levered firm "L" if it has the same EBIT as an unlevered firm "U", (With value of Rs. 700 lac), has a debt of Rs. 200 lac, tax rate is 35% under MM approach?

1
Rs. 950 lac
2
Rs. 630 lac
3
Rs. 770 lac
4
Rs. 525 lac
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