Question: Problem 10. [6 pts] Stephen Colbert (SC) Corporation will have net income next year of $120.00 million. If SC corporate tax is 25% and it

Problem 10. [6 pts] Stephen Colbert (SC) Corporation will have net

Problem 10. [6 pts] Stephen Colbert (SC) Corporation will have net income next year of $120.00 million. If SC corporate tax is 25% and it pays 6% interest on its debt, how much dditional debt can SC issue this year and still receive the benefit of the interest tax shield next year (to maximize the Tax Shield)? (Shovw your calculations)

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