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The CEO manufactured an alternative choice of attaining the HC Firm and maximizing the personal debt about the Pacific Grove’s equilibrium sheet. The debt and fairness amounts of Pacific Grove and HC Business are blended, outside of which the maximum credit card debt amount is calculated by incorporating the 50% of the total equity on each of the corporate’s balance sheets. The maximum financial debt degree is calculated as $24. 584 million roughly (See Appendix 7).
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