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Pal-Maine Foods, has a bond outstanding with a coupon rate of 6.8 percent and semiannual payments. The bond currently sells for $1,912 and matures in

Pal-Maine Foods, has a bond outstanding with a coupon rate of 6.8 percent and semiannual payments. The bond currently sells for $1,912 and matures in 16 years. The par value is $2,000.

What is the company's pretax cost of debt?

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