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Problem 16-4 Value of Tax Shields (LO2) Establishment Industries borrows $720 million at an interest rate of 6.6%. It expects to maintain this debt level

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Problem 16-4 Value of Tax Shields (LO2) Establishment Industries borrows $720 million at an interest rate of 6.6%. It expects to maintain this debt level into the far future. Establishment will pay tax at an effective rate of 36%. What is the present value of interest tax shields? (Round your answer to the nearest cent.) Present value of interest tax shields $ 259 million

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