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Running Adventures outstanding bonds are currently selling for 95.5 percent of face value. The bonds mature in 14 years, have a 4.5 percent coupon rate,
Running Adventures outstanding bonds are currently selling for 95.5 percent of face value. The bonds mature in 14 years, have a 4.5 percent coupon rate, and pay interest annually. Assume the tax rate is 21 percent. What is the companys after-tax cost of debt? Round your final answer to at least 4 decimal places.
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