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a corporate bond has a face value of $1000 and a coupon rate of 5.25%, paid semi annually. The bond matures in 17 years and

a corporate bond has a face value of $1000 and a coupon rate of 5.25%, paid semi annually. The bond matures in 17 years and has a current market price of $960. If the corporation sells more bonds it will incur flotation cost of $50 per bond. if the corporate tax rate is 35%, what is the after-tax cost of debt capital?

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