11. Terrier Company is in a 40 percent tax bracket and has a bond outstanding that yields 10 percent to maturity. a. What is Terrier's aftertax cost of debt? b. Assume that the yield on the bond goes down by 1 percentage point, and due to tax reform, the corporate tax rate falls to 25 percent. What is Ter- rier's new aftertax cost of debt? Has the aftertax cost of debt gone up or down from part a to part b? Explain why. Key Snan Corn is nlanning to issue debt that will mature in 2035 In many c. le 12