Answer and Explanation:
The computation is shown below:
a. The current value of the company is 
As it is mentioned that the company has no debt that means it is unlevered firm that is equivalent to unlevered value of the company  
Unlevered value of the firm =  Vu  
Vu = EBIT ×  (1 - tax rate ) ÷ unlevered Cost of Equity
= EBIT × (1 - tax rate ) ÷ R0  
= $25,000  ×  (1 -  0.22 ) ÷ 12%  
= $162,500  
b-1.	
The computation of the value of the firm in the case when the value of the firm is equivalent to 50% of unlevered value 
VL = Vu + Borrowing × tax rate  
where,  
Debt = borrowing = 50% × unlevered value of company  
Debt = borrowing = 50% x Vu  
So, 
VL = Vu + Borrowing x tax rate  
VL = $162,500 + ($162,500 × 50%) × 22%  
= $162,500 + $17,875  
= $180,375  
b-2.	
The computation of the value of the firm in the case when the value of the firm is equivalent to 100% of unlevered value 
Levered value of the firm VL  
VL = Vu + Borrowing × tax rate  
Debt = borrowing = 100% × unlevered value of company  
Debt = borrowing = 100% × Vu
So,    
VL = Vu + Borrowing x tax rate  
= $162,500 + ($162,500 × 100%) × 22%  
= $162,500 + 35,750  
= $198,250  
C.1.	
The computation of the value of the firm in the case when the value of the firm is equivalent to 50% of the levered value 
VL = Vu + Borrowing × tax rate  
= Vu + (VL × 50%) × tax rate  
VL = Vu + (VL × 50%) × 22%  
VL = Vu + 0.11 VL  
VL - 0.11 VL = 162,500  
0.89 VL = 162,500  
VL= 182,584.27  
C.2.	
The computation of the value of the firm in the case when the value of the firm is equivalent to 100% of the levered value  
Levered value of the firm VL  
VL = Vu + Borrowing x tax rate  
VL = Vu + (VL × 100%) × tax rate  
= Vu + (VL × 100%) × 22%  
= Vu + 0.22 VL  
VL - 0.22 VL = 162,500  
0.78 VL = 162,500  
VL= $208,333.33