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Old MathJax webview a. Absent personal taxes, what is the value of the interest tax shield from the new debt? (2 marks) b. If investors

Old MathJax webview

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a. Absent personal taxes, what is the value of the interest tax shield from the new debt? (2 marks) b. If investors pay a 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? (3 marks) 13 in his throw Nekpebe Ladime Enterprises is considering permanently adding 100 million of debt to its capital structure. Nekpebe Ladime's corporate tax rate is 35%. 1oC a. Absent personal taxes, what is the value of the interest tax shield from the new debt? (2 marks) b. If investors pay a 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? (3 marks) 001 of human

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