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KatyDid Clothes has a $110 million (face value) 30-year bond issue selling for 104 percent of par that carries a coupon rate of 8 percent,

KatyDid Clothes has a $110 million (face value) 30-year bond issue selling for 104 percent of par that carries a coupon rate of 8 percent, paid semiannually. What would be Katydids before-tax component cost of debt? Note: Round your answer to 2 decimal places

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