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36) Too Young, Incorporated, has a bond outstanding with a coupon rate of 6.2 percent and semiannual payments. The bond currently sells for $943
36) Too Young, Incorporated, has a bond outstanding with a coupon rate of 6.2 percent and semiannual payments. The bond currently sells for $943 and matures in 19 years. The par value is $1,000. What is the company's pretax cost of debt? A) 7.24% B) 7.00% C) 6.74% D) 6.81% E) 3.31%
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Personal Financial Planning
Authors: Lawrence J. Gitman, Michael D. Joehnk, Randy Billingsley
13th edition
1111971633, 978-1111971632
