P14-6 Calculating Cost of Debt [LO2] Viserion, Inc., is trying to determine its cost of debt. The firm has a debt issue outstanding with 23 years to maturity that is quoted at 93 percent of face value. The issue makes semiannual payments and has an embedded cost of 7 percent annually. What is the company's pretax cost of debt? 7.65% 9.18% 5.97% 8.42% 6.89% If the tax rate is 22 percent, what is the aftertax cost of debt? 05.97% 5.37% 6.56% 8.36% 7.65%