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Traylor Inc. has calculated that the present value of its future tax shields is $ 0 . Assume Traylor has $ 3 5 million in
Traylor Inc. has calculated that the present value of its future tax shields is $ Assume Traylor has $ million in outstanding debt and plans to keep this debt in perpetuity and also that Traylor has $ million in equity, measured in market value. Assuming the tax shield calculation is correct, what do you know about Traylor's situation?
Traylor Inc. has calculated that the present value of its future tax shields is $ Assume Traylor has $ million in outstanding debt and plans to keep this debt in perpetuity and also that Traylor has $ million in equity, measured in market value. Assuming the tax shield calculation is correct, what do you know about Traylor's situation?
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