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calculate the relative tax advantage of debt assuming the corporate tax rate 6. (10 POINTS) Calculate the relative tax advantage of debt assuming the corporate

calculate the relative tax advantage of debt assuming the corporate tax rate
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6. (10 POINTS) Calculate the relative tax advantage of debt assuming the corporate tax rate is 35 percent, the personal tax rate on equity income is 20 percent, and the personal tax rate on interest income is 30 percent. Does this set of tax rates favor a company using debt or equity financing

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