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Buchanan Corp. is refunding $10 million worth of 12% debt. The new bonds will be issued for 9%. The corporation's tax rate is 32%. The

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Buchanan Corp. is refunding $10 million worth of 12% debt. The new bonds will be issued for 9%. The corporation's tax rate is 32%. The call premium is 10%. What is the net cost of the call premium ? O $695,000 O $684,500 O $680,000 O $715,000

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