Marysa Corp. issued a $30-$year, $8$ percent semiannual bond $3$ years ago. The bond currently sells for $93$ percent of its face value. The company$$s tax rate is $25$ percent.

a$.$ What is the pretax cost of debt? $($Do not round intermediate calculations and enter your answer as a percent rounded to $2$ decimal places, e$.$g$.,32\mathrm{.}16.)$

b$.$ What is the aftertax cost of debt? $($Do not round intermediate calculations and enter your answer as a percent rounded to $2$ decimal places, e$.$g$.,32\mathrm{.}16.)$

c$.$ Which is more relevant, the pretax or the aftertax cost of debt?

multiple choice

Aftertax cost of debt

Pretax cost of debt