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SETAL has an unlevered cost of equity equal to 1 2 % and a tax rate of 3 1 % . In years one, two,
SETAL has an unlevered cost of equity equal to and a tax rate of In years one, two, and three, the expected interest expenses are $ $ and $ respectively. After Year the interest expenses are forecasted to increase at a constant each year. What is the horizon value of the interest tax shield?
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