Tom's Trucking, Inc. (TTI) is currently all-equity financed, with rE=10%. They are considering adding $25 million in debt. They anticipate a cost of debt of 5%. Calculate the present value of the tax shield associated with this debt financing under the following assumptions: 1) Debt will be kept outstanding at a fixed level perpetually, c=35%, ignore personal taxes. 2) Debt will be kept outstanding perpetually, but TTI will adjust their debt level to maintain their current D/V ratio, c=35%, ignore personal taxes. 3) Debt will be kept outstanding at a fixed level for only 10 years, c=35%, ignore personal taxes. 4) Debt will be kept outstanding at a fixed level perpetually, c=35%,i=35%,e=15%. 5) Debt will be kept outstanding at a fixed level for only 10 years, c=35%,i=35%,e= 15% Tom's Trucking, Inc. (TTI) is currently all-equity financed, with rE=10%. They are considering adding $25 million in debt. They anticipate a cost of debt of 5%. Calculate the present value of the tax shield associated with this debt financing under the following assumptions: 1) Debt will be kept outstanding at a fixed level perpetually, c=35%, ignore personal taxes. 2) Debt will be kept outstanding perpetually, but TTI will adjust their debt level to maintain their current D/V ratio, c=35%, ignore personal taxes. 3) Debt will be kept outstanding at a fixed level for only 10 years, c=35%, ignore personal taxes. 4) Debt will be kept outstanding at a fixed level perpetually, c=35%,i=35%,e=15%. 5) Debt will be kept outstanding at a fixed level for only 10 years, c=35%,i=35%,e= 15%