Here are the Net Income (NI) and Cash Flow From Assets (CFFA) equations:
NI=(Rev−COGS−FC−Depr−IntExp).(1−tc)
CFFA=NI+Depr−CapEx−ΔNWC+IntExp
What is the formula for calculating annual interest expense (IntExp) which is used in the equations above?
Select one of the following answers. Note that D is the value of debt which is constant through time, and rD is the cost of debt.