Currently, warren industries can sell 10-year, $1,000-par-value bonds paying annual interest at a 8% coupon rate. As a result of current interest rates, the bonds can be sold for $1,030 each before incurring flotation costs of $25 per bond. The firm is in the 40% tax bracket.

a. The net proceeds from sale of the bond Nd, is$ ______

b. Using the bond's YTM, the before-tax cost of debt is ______%

Using the bond's YTM, the after-tax cost of debt is______%

c. The after tax rate is lower because interests expenses are tax deductible, it reduces the

A. Net income

B. EBIT

C.Taxable income

D.Interest expense

PLEASE answer all and show me how did you get the answer

Thank you in advanced