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Page 1: Next Page Page 13 of 35 Question 13 (1 point) Page 2: Use the information below to determine before-tax cost of debt financing
Page 1: Next Page Page 13 of 35 Question 13 (1 point) Page 2: Use the information below to determine before-tax cost of debt financing of bond S. The Selling Price of the Bond (P) Number of Years to Maturity (n) Annual Coupon Rate, (paid annually) Par Value Before-Tax Cost Floatation Costs of Debt Financing (%) Page 3: Bond S $1,002 17 13.99% $1,000 $2.23 Round the answer to two decimal places in percentage form. (Write the percentage sign in the "units" box) Page 4: You should use Excel or financial calculator
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