Question: Johnson Corp borrows $ 8 2 0 million at an interest rate of 7 . 8 % . Establishment will pay tax at an effective
Johnson Corp borrows $ million at an interest rate of Establishment will pay tax at an effective rate of What is the present value of interest tax shields if:a It expects to maintain this debt level into the far future? Enter your answer in millions of dollars rounded to decimal place.b It expects to repay the debt at the end of years? Do not round intermediate calculations. Enter your answer in millions of dollars rounded to decimal places.c It expects to maintain a constant debt ratio once it borrows the $ million and Assets
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