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Determine the (after-tax) component cost of a $50 million debt issue that the Lovingly Corporation is planning to place with a large insurance company. Assume
Determine the (after-tax) component cost of a $50 million debt issue that the Lovingly Corporation is planning to place with a large insurance company. Assume the company is subject to a 41% tax rate. This long-term debt issue will yield 7.45% to the insurance company. Enter your answer in percent, rounded to the nearest 0.01%, and omit the "%".
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