Problem Set 4 Attempts 3. Problem 22-03 (Tax Shield Value) BA eBook Problem Walk-Through Tax Shield Value Wilde Software Development has a 14% unlevered cost of equity. Wilde forecasts the following interest expenses, which are expected to grow at a constant 2% rate after Year 3. Wilde's tax rate is 25%. Year 1 Year 2 Year 3 $80 $105 $145 Interest expenses a. What is the horizon value of the interest tax shield? Do not round intermediate calculations. Round your answer to the nearest cent. 314 $ b. What is the total value of the interest tax shield at Year 0? Do not round intermediate calculations. Round your answer to the nearest cent. $ Keep the Highest / 2