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The CEO designed another option of buying the HC Enterprise and maximizing the credit card debt over the Pacific Grove’s harmony sheet. The credit card debt and fairness levels of Pacific Grove and HC Organization are combined, outside of which the most credit card debt amount is calculated by incorporating the fifty% of the whole fairness on both of those of the corporation’s stability sheets. The utmost credit card debt level is calculated as $24. 584 million roughly (See Appendix 7).

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