o Cost of debt using both methods (YTM and the approximation formula) Currently, Warren Industries can sell 10-year $1,000-par value bonds paying annual interest at a 11% coupon rate. Because current market rates for similar bonds are just under 11%, Warren can sell its bonds for $990 each, Warren will incur flotation costs of $20 per bond. The firm is in the 25% tax bracket. a. Find the net proceeds from the sale of the bond, No. b. Calculate the bond's yield to maturity (YTM) to estimate the before tax and after-tax costs of debt c. Use the approximation formula to estimate the before tax and after-tax costs of debt. a. The net proceeds from the sale of the bond, Ng, is $(Round to the nearest dollar) b. Using the bond's YTM, the before tax cost of debt is [%. (Round to two decimal places) Using the bond's YTM, the after-tax cost of debt is % (Round to two decimal places.) c. Using the approximation formula, the before-tax cost of debt is % (Round to two decimal places) Using the approximation formula, the after-tax cost of debt is % (Round to two decimal places.)