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Mojo Mining has a bond outstanding that sells for $2,183 and matures in 19 years. The bond pays semiannual coupons and has a coupon rate

Mojo Mining has a bond outstanding that sells for $2,183 and matures in 19 years. The bond pays semiannual coupons and has a coupon rate of 7.22 percent. The par value is $2,000. If the company's tax rate is 21 percent what is the aftertax cost of debt? (a) 6.12% (b) 3.94% (c) 4.52% (d) 5.04% (e) 6.56%

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