14-3

3 Ying Import has several bond issues outstanding, each making semiannual interest payments. The bonds are listed in the following table. If the corporate tax rate is 35 percent, what is the aftertax cost of Ying's debt? Bond 10 points 1 2. 3 Coupon Rate 6.3% 7.5 6.7 8 Price Quote Maturity Face Value 108 6 years $ 21,000,000 116 41,000,000 107 47,000,000 121 58,000,000 10 years 22 years 32 years 4 Multiple Choice O 4.02% O 5.9% O 3.64% O 3.68% O 3.83%