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Business, 22.07.2019 16:10 azireyathurmond1

Acorporate bond has a face value of $1,000 and a coupon rate of 6.5%. the bond matures in 10 years and has a current market price of $985. if the corporation sells more bonds it will incur flotation costs of $36 per bond. if the corporate tax rate is 34%, what is the after-tax cost of debt capital? a)5.71%b)5.45%c)5.18%d)4.78%

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Acorporate bond has a face value of $1,000 and a coupon rate of 6.5%. the bond matures in 10 years a...
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