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DBF borrows $5.958 by issuing 24-year bonds. ECB's cost of debt is 10.69%, so it will need to pay interest each year for the next
DBF borrows $5.958 by issuing 24-year bonds. ECB's cost of debt is 10.69%, so it will need to pay interest each year for the next 24 years, and then repay the principal $5.958 in year 24. ECB's marginal tax rate will remain 42.61% throughout this period. By how much does the interest tax shield increase the value of DBF? NOTE: Provide your answers in Millions. E.G. for 100M you must enter 100.0000, for 20M you must enter 20.000, etc
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