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Black Cats Inc. has $10 million in outstanding debt (10,000 bonds with a face value of $1,000) with a current market value of $1100, 9

Black Cats Inc. has $10 million in outstanding debt (10,000 bonds with a face value of $1,000) with a current market value of $1100, 9 years until maturity, and a coupon rate of 7 percent (annual payments). What is the cost of debt for Black Cats Inc?

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