Multiple Choice
Baker Breads has $428,000 of debt outstanding that is selling at par and has a coupon rate of 6.25 percent.The tax rate is 34 percent.What is the present value of the tax shield?
A) $9,095
B) $10,459
C) $52,760
D) $145,520
E) $147,600
Correct Answer:
Verified
Correct Answer:
Verified
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