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Nico Trading Corporation is considering issuing long - term debt. The debt would have a 3 0 year maturity and a 1 0 percent coupon
Nico Trading Corporation is considering issuing longterm debt. The debt would have a year maturity and a percent coupon rate. In order to sell the issue, the bonds must be underpriced at a discount of percent of face value. In addition, the firm would have to pay flotation costs of percent of face value. The firm's tax rate is percent. Given this information, the after tax cost of debt for Nico Trading would be
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