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Pretax Cost Of Debt Too Young, Inc., has a bond outstanding with a coupon rate of 6.3 percent and semiannual payments. The bond currently sells

Pretax Cost Of Debt

Too Young, Inc., has a bond outstanding with a coupon rate of 6.3 percent and semiannual payments. The bond currently sells for $1,947 and matures in 21 years. The par value is $2,000. What is the company's pretax cost of debt?

Multiple Choice

3.24%

6.87%

7.10%

6.68%

6.53%

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