Question
A new bond issue is being issued at a market price of $902 with a 11.4% interest rate and will be due in 16 years.
A new bond issue is being issued at a market price of $902 with a 11.4% interest rate and will be due in 16 years. If the firm has a 25 percent tax rate, calculate the after-tax cost of debt.
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Financial Sector Reform And Privatization In Transition Economies
Authors: John Doukas, Victor Murinde, Clas Wihlborg
1st Edition
044482653X, 9780444826534
