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Five years ago Tekmed Ltd. issued 12 year, 6% annual coupon bonds. They currently trade for 105 of par. What is the companys after-tax component

Five years ago Tekmed Ltd. issued 12 year, 6% annual coupon bonds. They currently trade for 105 of par. What is the companys after-tax component cost of debt? Assume 2% flotation costs and a corporate tax rate of 30%.

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