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Problem 3 Intro Simple Corp. has one bond issue oustanding, with a maturity of 10.5 years,, a coupon rate of 3.8% and a yield to
Problem 3 Intro Simple Corp. has one bond issue oustanding, with a maturity of 10.5 years,, a coupon rate of 3.8% and a yield to maturity of 5.5% Simple Corp.'s average tax rate is 18 % and its marginal tax rate is 30 %. Attempt 1/5 for 10 pts. B Part 1 What is the (pre-tax) cost of debt? 3+ decimals Submit Part 2 Attempt 1/5 for 10 pts. What is the after-tax cost of debt? 4+ decimals Submit esc 2 F3
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