6- Suppose that a rm needs to attract investment to buy land. The nominal interest rate on the rm' 5 debt is 4 percent. The proportion of the investment nanced by debt is 30 percent, the shareholders' nominal required rate of return on equity is 8 percent, and the ination rate is 3 percent. (30 points) a. What is the minimum rate of return needed to attract the funds from investors to nance buying the land'iI For parts b-c, consider a corporate tax system with the following features: I The statutory corporate income tax rate is u = (12?. I There is no investment tax credit (ITC) for buying land. I- Nominal interest payments on the rm's debt are tax-deductible, but the opportunity cost of equity nance is not. Note that provincial sale taxes do not fall on land purchases. b. Find the before-tax rate of return that will generate the after-tax hurdle rate of return required by the rm's stakeholders. What is the Marginal Effective Tax Rate (METR) in this case'iI c. Explain in plain English, what is the impact of a reduction in statutory corporate tax rate