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Jiminy's Cricket Farm issued a bond with 30 years to maturity and a semiannual coupon rate of 5 percent 6 years ago. The bond currently

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Jiminy's Cricket Farm issued a bond with 30 years to maturity and a semiannual coupon rate of 5 percent 6 years ago. The bond currently sells for 106 percent of its face value. The company's tax rate is 25 percent. The book value of the debt issue is $45 million. In addition, the company has a second debt issue on the market, a zero coupon bond with 10 years left to maturity, the book value of this issue is $45 million, and the bonds sell for 73 percent of par. What is the company's total book value of debt? O $90,000,000 $85,500,000 $94,500,000 $81,000,000 What is the company's total market value of debt? $80,550,000 $84,577,500 $88,605,000 $81,000,000 What is your best estimate of the aftertax cost of debt? O 3.01% O 3.17% 24

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