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MC Qu. 55 The coupon rate on an issue of debt is couprate... The coupon rate on an issue of debt is 9%. The yield

MC Qu. 55 The coupon rate on an issue of debt is couprate... The coupon rate on an issue of debt is 9%. The yield to maturity on this issue is 13%. The corporate tax rate is 30%. What would be the approximate after-tax cost of debt for a new issue of bonds? (Round your answer to 2 decimal places.) 7.75% 11.25% 10.55% 9.10%

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