Establishment Industries borrows $800 million at an interest rate of 7.6%. Establishment will pay tax at an effective rate of 35%. What is the present value of interest tax shields if:

a. It expects to maintain this debt level into the far future?

b. It expects to repay the debt at the end of 5 years?

c. It expects to maintain a constant debt ratio once it borrows the $800 million and rassets = 10%?