As a measure (estimate) of FDXs cost of newly issued debt, FDX Corp. has a Bond issue outstanding in the market issued on October 17, 2018, of $850,000,000 par value with a coupon rate of 4.950% (paid semiannually) that will mature on October 17, 2048 (assume 27.5 years to maturity or 55 semiannual periods). At a current price of 124.432 percent of par value (assuming a par value of $1000, the bond price is $1,244.32), what is the annual yield (YTM) on this bond (be sure you convert from semiannual to annual)? Use this annual return on the outstanding bond issue to estimate FDXs cost of new, 30-year maturity bonds. After estimating the cost of new FDX debt, calculate FDXs after-tax cost of the new debt assuming a 26 percent income tax rate? Remember: After-tax cost = before-tax cost (1-tax rate).