Fresh Fish Food has bonds that mature in $8$ years. The bonds have a $2\mathrm{.}5\%$ coupon rate paid semi$-$annually. They have a yield to maturity of $6\%$ and a

tax bracket of $38\%.$ Flotation costs are $12\%$ of the price. What is the cost of debt?

Creepy Crawlies Halloween Productions, Inc. has bonds outstanding that will mature in $12$ years. The bonds pay a $6\%$ semiannual coupon rate. The

bonds currently have a yield to maturity of $9\%.$ The firm's tax bracket is $40\%.$ The firm pays a $8\%$ of par flotation cost. What is the cost of debt?