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What is the annual tax shield to a firm that has total assets of $ 8 0 million and a net worth of $ 5

What is the annual tax shield 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%, the average return on equity is
14%, and the marginal tax rate is 35%?
$2.125 million
$1.87 million
$0.85 million
$0.744 million
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