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WLC Co. projects its' free cash flow to be $5 million next year and is expected to grow at a rate of 5% every year.

WLC Co. projects its' free cash flow to be $5 million next year and is expected to grow at a rate of 5% every year. WLC's equity cost of capital is 10% and the debt cost of capital is 6%. Further, it pays a corporate tax rate of 21%. If WLC maintains a debt-equity ratio of 1.5, what is the value of its interest tax shield?

A. $102.65 million

B. $78.84 million

C. $56.64 million

D. $207.80 million

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