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A corporate bond has face value of $1000 and coupon rate of 5.25%, paid semiannually . the bond matures in 17 years and has a

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

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