(Cost of debt) Sincere Stationery Corporation needs to raise $500,000 to improve its manufacturing plant. It has decided to issue a $1,000 par value bond with an annual coupon rate of 14 percent and a maturity of 10 years. The investors require a rate of retum of 9 percent. a. Compute the market value of the bonds: b. What will the net price be if flotation costs ate 10.5 percent of the market price? c. How many bonds will the firm have to issue to receive the needod funds? d. What is the firm's after-tax cost of debt if its average tax rate is 25 percent and its marginal tax rate is 21 percent? e. Rework the problem as follows: Assume a coupon rate of 8 percent. f. What effect does changing the coupon rate have on the firm's after-tax cost of capital? Why is there a change? a. If the bond's annual coupon rate is 14%, what is the market value of the bond? (Round to the nearest cent) b. What will the net price be if fiotation costs are 10.5 percent of the market price? (Round to the nearest cent.) c. How many bonds will the firm have to issue to receive the needed funds