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KatyDid Clothes has a $140 million (face value) 30-year bond issue selling for 105 percent of par that carries a coupon rate of 14 percent,

KatyDid Clothes has a \$140 million (face value) 30-year bond issue selling for 105 percent of par that carries a coupon rate of 14 percent, paid semiannually. What would be Katydid's before-tax component cost of debt? Note: Round your answer to 2 decimal places

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