6 Vibrato 1022 Co had a bond issue outstanding that matures in 14 vears. The $1.000 faces & value bonds page interset smei annually.. Currently, the bands are quoted at 96.5% Of face value and carry a 7% coupon. What is the firms after tax cost of debt If the tax rate is 22% A 7.4100 6 6.11% () 8.73 % D) 7.02% c) 5.78% 2 it a coporation carns a rate of return on its invested capital that is equal to or lomer than the market required Rate of return on that invested capital, the stock price will decrease in value A True B false 3 For a profitable corporation, the after ton cost of debt must always be higher o than the firms interset rate paid on its debt l assume the firm pays income taxes, don't assume tax - loss carry forward) - A True B false