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Markum Enterprises is considering permanently adding $100 million of debt to its capital structure. Markums corporate tax rate is 35%. b. If investors pay a

Markum Enterprises is considering permanently adding $100 million of debt to its capital structure. Markums corporate tax rate is 35%.

b. If investors pay a personal income tax rate of 40% on interest income, and a tax rate of 20% on income from dividends and capital gains, what is the value of the interest tax shield from the new debt?

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