Question
Calculate the before tax cost of debt financing of bond if Bond selling price is $1,050 Maturity in years is 29 Annual coupon rate 6.55%
Calculate the before tax cost of debt financing of bond if
Bond selling price is $1,050
Maturity in years is 29
Annual coupon rate 6.55%
Par Value $1000
Flotation cost $2.39
answer in 2 decimal places in percentage
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Investment Analysis and Portfolio Management
Authors: Frank K. Reilly, Keith C. Brown, Sanford J. Leeds
11th Edition
1305262999, 1305262997, 035726164X, 978-1305262997
