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Long-Term debt of Topstone Industries is currently selling for $1,045 of its face value. The issue matures in 10 years and pays a semi-annual coupon

Long-Term debt of Topstone Industries is currently selling for $1,045 of its face value. The issue matures in 10 years and pays a semi-annual coupon of 8% of face. What is the after-tax cost of debt for Topstone if the company is in 30% tax bracket?

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