Wilde Software Development has a 12% unlevered cost of equity. Wilde forecasts the following interest expenses, which are expected to grow at a constant 4% rate after  Year 3. Wilde’s tax rate is 25%.   Year 1 Year 2 Year 3 Interest Expenses $80 $100 $120   a. What is the horizon value of the interest tax shield? b. What is the total value of the interest tax shield at Year 0?

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