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Cullumber Comics, Inc., has borrowed $150 million and is required to pay its lenders $10 million in interest this year. If Cullumber is in the

Cullumber Comics, Inc., has borrowed $150 million and is required to pay its lenders $10 million in interest this year. If Cullumber is in the 40 percent marginal tax bracket, then what is the after-tax cost of debt (in dollars as well as in annual interest percentage) to Cullumber? (Round answers to 2 decimal places, e.g. 15.25 or 15.25%.)

In Dollars In Percentage

After-tax cost of debt

$_____________ milliion ___________%

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