Assume a 40% corporate income tax. Your annual pre-tax income is $650,000 per year. If you finance some project with a $1,400,000 bond, on which you will have to pay 9% interest per year, how much will you have to pay in taxes each year (in dollars)? How much will you pay in taxes if instead of the bond you finance your project entirely with cash on hand? If the appropriate discount rate is 11%, what is the PV of next year’s tax savings from financing the project with a bond?