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Nealon Energy Corporation currently has one issue of bonds outstanding. The bonds have a par value of $ 1 , 0 0 0 per bond,

Nealon Energy Corporation currently has one issue of bonds outstanding. The bonds have a par value of $1,000 per bond, carry an 6 percent coupon rate of interest, have 20 years to maturity, and are selling for $1,065. Please calculate the cost of new debt financing to Nealon based on current market price after flotation costs of $35 per bond have been considered

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