Use the Information for the Question(s)below

question 92

Multiple Choice

Use the information for the question(s) below.
LCMS Industries has $70 million in debt outstanding.The firm will pay only interest on this debt (the debt is perpetual) .LCMS' corporate tax rate is 21% and the firm pays a rate of 8% interest on its debt.
-The present value of LCMS' interest tax shield is closest to:

• A)$45.5 million.
• B)$20.0 million.
• C)$14.7 million.
• D)$35.0 million.

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Definitions:

Human Figures

Representations of the human body in art, which can vary greatly across cultures and historical periods, often used to express ideals of beauty, communicate social statuses, or convey various emotions and functions.

Hall Of The Bulls

A famous section of the Lascaux Caves in France, showcasing prehistoric cave paintings of bulls and other animals, dating back to around 17,000 years ago.

Altamira Caves

A cave in Spain noted for its Upper Paleolithic cave paintings featuring drawings of wild mammals and human hands.

Lascaux Caves

Prehistoric cave systems in France, famous for their Paleolithic cave paintings of large animals, which are among the finest examples of art from the Upper Paleolithic period.