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Micro Spinoffs Inc. issued 10-year debt a year ago at par value with a coupon rate of 7%, paid annually. Today, the debt is selling

Micro Spinoffs Inc. issued 10-year debt a year ago at par value with a coupon rate of 7%, paid annually. Today, the debt is selling at $1,110. If the firms tax bracket is 35%, what is its percentageafter-taxcost of debt?Assume a face value of $1,000.

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