O Search Question 11 20 Two years ago, Fortrade Inc. issued $10 million in long-term bonds that now have eight years remaining until maturity. The bonds have a 7% coupon rate and have a current price of $1,071.55. Fortrade also has $25 million in market value of common stock. For cost of capital purposes, what portion of the firm is debt financed and what is the after-tax cost of debt, if the tax rat is 35%? 40.00% debt financed: 2.93% after-tax cost of debt 30.00% debt financed: 3.81% after-tax cost of debt 28.57% debt financed; 1.91% after-tax cost of debt 70.00% debt financed: 4.55% after-tax cost of debt