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10- 13.5 I need helo correcting part b of the problem Problem 13.15 (Part Level Submission) You know that the after-tax cost of debt capital
10- 13.5 I need helo correcting part b of the problem
Problem 13.15 (Part Level Submission) You know that the after-tax cost of debt capital for Bubbles Champagne is 6.20 percent. Assume that the firm has only one issue of five-year bonds outstanding. The bonds make semiannual coupon payments and the marginal tax rate is 30 percent. | (a) Your answer is correct. Calculate Pre-tax cost of debt capital. (Round intermediate calculations to 4 decimal places, e.g. 1.2514 and final answer to 2 decimal places, e.g. 15.25%.) 3.86% Pre-tax cost of debt capital 8.86 %Step by Step Solution
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