At the present time, Andalusian Limited $($AL$)$ has $10-$year noncallable bonds with a face value of $$1,000$ that are outstanding. These bonds have a current market price of $$1,495\mathrm{.}56$ per bond, carry a coupon rate of $10\%,$ and distribute annual coupon payments. The company incurs a federal$-$plus$-$state tax rate of $25\%.$ If AL wants to issue new debt, what would be a reasonable estimate for its after$-$tax cost of debt $($rounded to two decimal places$)?($Note: Round your YTM rate to two decimal place.$)$

$2\mathrm{.}35\%$

$3\mathrm{.}53\%$

$3\mathrm{.}38\%$

$2\mathrm{.}94\%$