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A company has a $ 5 million bond issue outstanding that is due to mature in 1 2 years. Each bond is currently trading for

A company has a $5 million bond issue outstanding that is due to mature in 12 years. Each bond is currently trading for $950, although the par value is $1,000. Coupons are paid semiannually at a rate of 6% per year. What is the firms after-tax cost of debt in annual terms if the tax rate is 21%?

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