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Gamestop has a credit rating of BB+, and the firm's bonds have a weighted average time to matuirty of 4 years. Calculate the firm's before
Gamestop has a credit rating of BB+, and the firm's bonds have a weighted average time to matuirty of 4 years. Calculate the firm's before tax cost of debt using the following equation: (Enter percentages as decimals and round to 4 decimals)
Yield (%) = 4.05*Ln(Mat) + 1.65
where MAT is the weighted time to maturity, and yield is expressed in percentages (meaning if the equation produces a value of 3 ... its 3%, or 0.03).
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