Cost of debt using the approximation formula For the following $1,000-par-value bond, assuming annual interest payment and a 29% tax rate, calculate the after-tax cost to maturity using the approximation formula. Discount ( - ) or Coupon Life Underwriting fee premium (+) interest rate 10 years $35 - $40 7% The after-tax cost of financing using the approximation formula is % (Round to two decimal places.)