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Posted on Jun 09, 2024

What is the annual tax shield (answer should be in Dollars) to a firm that has total assets of $80 million and a net worth

What is the annual tax shield (answer should be in Dollars) to a firm that has total assets of $80 million and a net worth of $55 million, if the average interest rate on debt is 8.5% and the marginal tax rate is 35%?

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