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Hello You just answered the the following question for me Black Hill Inc. sells $100 million worth of 21-year to maturity 8.91% annual coupon bonds.

Hello You just answered the the following question for me

Black Hill Inc. sells $100 million worth of 21-year to maturity 8.91% annual coupon bonds. The net proceeds (proceeds after flotation costs) are $988 for each $1,000 bond. What is the before-tax cost of capital for this debt financing? You provided an answer of 9.04%

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