1.Using the information below, calculate an after-tax weighted-average cost of debt capital, assuming a corporate income tax rate of 30%.All debt obligations are long-term obligations.

Type of debt obligation

Amount

Interest rate

Bonds Payable

6.000.000

8%

Bonds Payable

11.000.000

6%

Bank loan

1.000.000

10.5%

1.Using the information below, calculate an after-tax weighted-average cost of debt capital, assuming a corporate income tax rate of 40%.All debt obligations are long-term obligations.

Type of debt obligation

Amount

Interest rate

Bonds Payable

1.000.000

5%

Bonds Payable

8.000.000

6.3%

Bank loan

3.500.000

8.5%

10.5%