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Legitron Corporation has $350 million of debt outstanding at an interest rate of 8 percent. What is the dollar value of the tax shield on

Legitron Corporation has $350 million of debt outstanding at an interest rate of 8 percent. What is the dollar value of the tax shield on that debt, just for this year, if Legitron is subject to a 35 percent marginal tax rate? Please show breakdown of equation.

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