Angelou Corporation Has Debt Worth $150,000, with a Yield of 8

Angelou Corporation has debt worth $150,000, with a yield of 8%, and equity worth $350,000.It is growing at a 5% rate, and its tax rate is 25%.A similar firm with no debt has a cost of equity of 13%.Using the compressed adjusted present value model, what is the value of the firm's tax shield, i.e., how much value does the use of debt add?

A) $33,750
B) $37,500
C) $41,250
D) $45,375
E) $49,913