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28. A firm has interest expense of $2,500 each year for ten years. If the tax rate is 25% and the discount rate is 7%,
28. A firm has interest expense of $2,500 each year for ten years. If the tax rate is 25% and the discount rate is 7%, compute the value of the interest rate tax shield.
A) $4,744
B) $4,918
C) $4,390
D) $4,987
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