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dr choi inc issues a bonds that pays 12% coupon rate. Suppose the price of the bond at market value is 1020 and 8 years

dr choi inc issues a bonds that pays 12% coupon rate. Suppose the price of the bond at market value is 1020 and 8 years left until maturity. Given 32% of tax bracket what is the after tax cost of debt for the company ? a. 7.75% b. 8.65% c. 9.88% d. 11.43%

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