Cute Camel Woodcraft Company (CCWC) can borrow funds at an interest rate of 10.20% for a period of eight years. Its marginal federal-plus-state tax rate is 30%. CCWC's after-tax cost of debt is 6.78% (rounded to two decimal places). tory At the present time, Cute Camel Woodcraft Company (CCWC) has a series of fifteen-year noncallable bonds with a face value of $1,000 that are outstanding. These bonds have a current market price of $1,136.50 per bond, carry a coupon rate of 12%, and distribute annual coupon payments. The company incurs a federal-plus-state tax rate of 30%. If CCWC wants to issue new debt, what would be a reasonable estimate for its after-tax cost of debt (rounded to two decimal places)? 5.70% 8.20% 6.42% 7.13 %