A corporate bond has a face value of $1,000 and a coupon rate of 5%, paid annually. The bond matures in 15 years and has a current market price of $925. If the corporation sells more bonds it will incur flotation costs of $25 per bond. If the corporate tax rate is 35%, what is the after-tax cost of debt capital?

		3.92%
		4.45%
		5.29%
		6.78%