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Given the data below, what is the cost of debt for Topstone Industries if its debt consists of 3-year bonds rated A? Corporate spreads Rating
Given the data below, what is the cost of debt for Topstone Industries if its debt consists of 3-year bonds rated A? Corporate spreads Rating 3 yr 5 yr 10 yr 30 yr AAA 15 22 30 55 AA+ 20 32 40 60 AA 30 37 50 65 AA- 35 45 55 70 A+ 45 58 65 79 A 58 65 75 90 A- 79 85 88 108 Treasury Yield 5.00% 5.19% 5.30% 5.43% A. 5.58% B. 5.98% C. 5.80% D. 5.45% E. 5.64%
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