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QUESTION 27 Long Q4B: To fund this company, you plan to get a small business loan of $2,000. The interest rate of this loan and

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QUESTION 27 Long Q4B: To fund this company, you plan to get a small business loan of $2,000. The interest rate of this loan and the YTM are both 5%. You will replay the loan in one year after with the company's profits. You will owe interest at t = 1. If the corporate tax rate is 25%, what is the interest tax shield att 17 (Hint: Calculate interest payment first)

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