B C F GHIJKL 13.20 Cost of debt for a firm: You are analyzing the after-tax cost of debt for a firm. You know that the firm's 12-year maturity. 9.5 percent coupon bonds are selling at a price of $1,200 If these bonds are the only debt outstanding for the firm, what is the after-tax cost of debt for this firm if the marginal tax rate for the firm is 34 percent? What if the bonds are selling at par? Maturity Coupon rate Current bond price Tax rate Par value Coupon frequency 12 9.50% $1,200 34% $1,000 After-tax cost of debt (at current price) After-tax cost of debt (if selling at par) O type here to search