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solve for R FV=PV(1+R) $23,351=$100(1+R)^64 FV=PV(1+R)n $23,351=$100(1+R)64 Section 2-8 I Suppose a project financed via an issue of debt requires five annual interest payments of

solve for R
FV=PV(1+R)
$23,351=$100(1+R)^64
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image text in transcribed
FV=PV(1+R)n $23,351=$100(1+R)64 Section 2-8 I Suppose a project financed via an issue of debt requires five annual interest payments of $10 million each year. If the tax rate is 30% and the cost of debt is 6%, what is the value of the interest rate tax shield? (2 marks)

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