In Claims Valuation, CFAI tells us to discount interest payment and principla payment to find PV for debt holders and add this to PC of equity (Dividends etc).
But at another place when establishing total value, it says add Interest/(rd) to (EBIT-Interest)/(re) to get total value. In this case principal payments are not discounted at rd and istead EBIT-Interest is discounted at re.
Also, Why are taxes not being considered when calculating NPV–>taxes are a very real expense and I always used to take after tax cash flows to get NPV.
Any clarification on this would be great!