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jiminys cricket Farm issued a 30 year Jiminy's Cricket Farm issued a 30-year, 8 percent semiannual bond 7 years ago. The bond currently sells for

jiminys cricket Farm issued a 30 year
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Jiminy's Cricket Farm issued a 30-year, 8 percent semiannual bond 7 years ago. The bond currently sells for 91.5 percent of its face value. The company's tax rate is 35 percent. a. What is the pretax cost of debt? b. What is the aftertax cost of debt? c. Which is more relevant, the pretax or the after tax cost of debt

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