Question: please show calculation not excel You are considering borrowing $1,000,000 at an interest rate of 8% for your business. Your business generates pretax cash flows

please show calculation not excel

You are considering borrowing $1,000,000 at an interest rate of 8% for your business. Your business generates pretax cash flows of $200,000 each year and pays taxes at a rate of 10% percent. Your tax shield from this debt is: a. 250,000 b. 100,000 c. 150,000 d. 50,000

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