(Computing the cost of debt) Guildhall Industries PLC is issuing a 1,000 face value bond that pays...
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(Computing the cost of debt) Guildhall Industries PLC is issuing a £1,000 face value bond that pays 5 percent annual interest and matures in 12 years. The interest is paid semiannually. Investors are willing to pay £970 for the bond. Guildhall Industries PLC pays corporate tax of 30 percent. What is the after-tax cost of debt for Guidhall?
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Related Book For 
Financial Management Principles And Applications
ISBN: 9781292222189
13th Global Edition
Authors: Sheridan Titman, Arthur Keown, John Martin
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