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X P15-25 (similar to) Without leverage, Impi Corporation will have net income next year of $5.0 million. If Impi's corporate tax rate is 21% and it pays 7% interest on its debt, how much additional debt can Impi issue this year and still receive the benefit of the interest tax shield next year? (Note: Assume Impi's revenues exceed $26 million, and that interest tax deductions are limited to 30% of EBIT under the TCJA.) Review Only 1 Click the icon to see the Worked Solution (Formula Solution). The debt is $ 27.124 million. (Round to three decimal places.) To calculate the debt, first compute the taxable income using the following formula: Taxable Income Net Income 1 - Corporate Tax Rate) To calculate the debt, use the following formula: Interest tax deductions Debt = - Interest Rate