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Reena Industries has $138,000 of debt outstanding that is selling at par and has a coupon rate of 7 percent. If the tax rate is
Reena Industries has $138,000 of debt outstanding that is selling at par and has a coupon rate of 7 percent. If the tax rate is 34 percent, what is the present value of the tax shield?
A)$28,412
B)$51,010
C)$46,920
D)$3,284
E)$9,660
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