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please help Question 4 1 pts Lexington's bonds have 15 years to maturity and a coupon rate of 8%. Interest is paid semi-annually. The bonds

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Question 4 1 pts Lexington's bonds have 15 years to maturity and a coupon rate of 8%. Interest is paid semi-annually. The bonds sold at par value, but the firm paid flotation costs amounting to 5% of par value. The firm has a marginal tax rate of 21%. What is the firm's after-tax cost of debt for these bonds? O 6.32% O 6.79% O 5.68% O 8.60% O 8.0% Question 7 1 pts Lexington wants to increase its operating leverage. Which of the following results can the firm expect to see as a result of the increase in operating leverage? O Lexington's breakeven point should decrease O Lexington's fixed operating costs should decrease O Lexington's breakeven point should increase O Lexington's breakeven point should not change

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