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Black Diamond, Inc., a manufacturer of carbon and graphite products for the metal production, electronics, aerospace and transportation industries, is considering several funding alternatives for
Black Diamond, Inc., a manufacturer of carbon and graphite products for the metal production, electronics, aerospace and transportation industries, is considering several funding alternatives for an investment project. To finance the project, the company can obtain loan from the bank 100,000 with cost 6.5%. Calculate the company's after-tax cost of long-term debt if the company's tax rate is 35%.
Select one:
a. 4,750
b. 4,225
c. 4,850
d. 4,555
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