Arnell Industries has just issued $$25$ million in debt $($at par$).$ The firm will pay interest only on this debt. Arnell's marginal tax rate is expected to be $21\%$ for the foreseeable future.

a$.$ Suppose Arnell pays interest of $8\%$ per year on its debt. What is its annual interest tax shield?

b$.$ What is the present value of the interest tax shield, assuming its risk is the same as the loan?

c$.$ Suppose instead that the interest rate on the debt is $6\%.$ What is the present value of the interest tax shield in this case?

a$.$ Suppose Arnell pays interest of $8\%$ per year on its debt. What is its annual interest tax shield?

If Arnell pays interest of $8\%$ per year on its debt, the annual interest tax shield is $ $$ million. $($Round to three decimal places.$)$