If a firm permanently borrows $100 million at an interest rate of 8%,what is the present value of the interest tax shield? (Assume that the marginal corporate tax rate is 30%.)
A)$8.00 million
B)$5.60 million
C)$30.00 million
D)$26.67 million

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The Answer of If a firm permanently borrows $100 million at an interest rate of 8%,what is the present value of the interest tax shield? (Assume that the marginal corporate tax rate is 30%.)
A)$8.00 million
B)$5.60 million
C)$30.00 million
D)$26.67 million

If a Firm Permanently Borrows $100 Million at an Interest