Question 4 A CFO says, "We already have enough cash to finance all of our new investments in projects. Nevertheless, I wa to generate debt tax shields. Therefore, I have decided to borrow $10 million from a bank and invest it government bonds. This way we will reduce our tax bill next year by the amount of the tax shields that the inten on $10 million of debt will generate." (Here, assume that the company will borrow at the same rate a government bonds that it intends to purchase). Does the CFO's strategy make sense? Please provide the rationale behind your