4.5 pts Question 9 The outstanding bonds of Chelsea Fashions were issued 4 years ago, with a face value of $1,000. They are currently priced at $989. These bonds mature in 10 years, have a 6 percent coupon and pay interest annually. The firm's tax rate is 30 percent, and Ten-year Treasury bonds are currently yielding 3.9 percent. What is the firm's pre-tax cost of debt? (round answer to whole number with two decimal points: i.e., use 1.23 percent instead of 0.0123) Previous Next >