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Your firm has 5,000 bonds outstanding with a face value of $1,000 each. These bonds have a 9 percent coupon, pay interest annually, and are

Your firm has 5,000 bonds outstanding with a face value of $1,000 each. These bonds have a 9 percent coupon, pay interest annually, and are currently selling for 99 percent of par value. What is the present value of the interest tax shield if the tax rate is 34 percent? A) $44,550 B) $45,000 C) $1,683,000 D) $1,700,000

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