Question
5 years ago, Barton Industries issued 25-year noncallable, semiannual bonds with a $1,100 face value and a 8% coupon, semiannual payment ($44 payment every 6
5 years ago, Barton Industries issued 25-year noncallable, semiannual bonds with a $1,100 face value and a 8% coupon, semiannual payment ($44 payment every 6 months). The bonds currently sell for $845.87. If the firm's marginal tax rate is 40%, what is the firm's after-tax cost of debt? Round your answer to 2 decimal places. Do not round intermediate calculations.
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College Mathematics For Business Economics, Life Sciences, And Social Sciences
Authors: Raymond Barnett, Michael Ziegler, Karl Byleen, Christopher Stocker
14th Edition
0134674146, 978-0134674148
