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Your company just borrowed a bank loan of $430 million, with an annual interest rate of 7.3%. The marginal corporate tax rate your company faces

Your company just borrowed a bank loan of $430 million, with an annual interest rate of 7.3%. The marginal corporate tax rate your company faces is 25%. What is the annual interest tax shield from this loan?

		$1.825 million
		$7.8 million
		$31.39 million
		$107.5 million

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