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jiminy cricket farm issued a 30 year 6.3 percent Jiminy's Cricket Farm issued a 30-year, 6.3 percent semiannual bond 8 years ago. The b urrently

jiminy cricket farm issued a 30 year 6.3 percent
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Jiminy's Cricket Farm issued a 30-year, 6.3 percent semiannual bond 8 years ago. The b urrently sells for 107 percent of its face value. The company's tax rate is 35 percent. 1. What is the pretax cost of debt? 2. What is the aftertax cost of debt? 3. Which is more relevant, the pretax or the aftertax cost of debt? Why

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