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Vandell's debt interest rate is 7.6%. Assume that the risk-free rate of interest is 7% and the market risk premium is 6%. Both Vandell and

image text in transcribed Vandell's debt interest rate is 7.6%. Assume that the risk-free rate of interest is 7% and the market risk premium is 6%. Both Vandell and Hastings face a 35% tax rate. 6% after Year 4. 1,230,000. Round your answers to two decimal places. Year 4 interest expense: $ million Year 4 tax shield: $ million as 1.23 , not 1,230,000. Round your answers to two decimal places. Unlevered value of operations: \$ million Value of tax shield: $ million c. What is the maximum price per share that Hastings would bid for Vandell? Do not round intermediate calculations. Round your answer to the nearest cent. Maximum price per share that Hastings would bid for Vandell: \$ /share

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