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Galvatron Metals has a bond outstanding with a coupon rate of 5.9 percent and semiannual payments. The bond currently sells for $945 and matures in

Galvatron Metals has a bond outstanding with a coupon rate of 5.9 percent and semiannual payments. The bond currently sells for $945 and matures in 21 years. The par value is $1,000 and the company's tax rate is 21 percent. What is the company's aftertax cost of debt?

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3.83%

4.39%

5.04%

2.98%

3.19%

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