J& r renovation, inc., is trying to determine its cost of debt. the firm has a debt issue outstanding with 16 years to maturity that is quoted at 106 percent of face value. the issue makes semiannual payments and has a coupon rate of 6 percent annually. what is the company’s pretax cost of debt?

if the tax rate is 35 percent, what is the aftertax cost of debt?

Carmen co. can further process product j to produce product d. product j is currently selling for $20 per pound and costs $15.75 per pound to produce. product d would sell for $38 per pound and would require an additional cost of $8.55 per pound to produce. what is the differential revenue of producing product d?

A$100 million interest rate swap has a remaining life of 10 months. under the terms of the swap, the six-month libor is exchanged semi-annually for 12% per annum. the six-month libor rate in swaps of all maturities is currently 10% per annum with continuous compounding. the six-month libor rate was 9.6% per annum two months ago. what is the current value of the swap to the party paying floating? what is its value to the party paying fixed?

Using the smith's bbq report, the cost of wine for next week will increase by 2% from the current week. if all other cost of sales stays constant, what will be the approximate total cost of sales for next week?