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Salvation Metals has a bond outstanding with a coupon rate of 6.8 percent and semiannual payments. The bond currently sells for $1,884 and matures in
Salvation Metals has a bond outstanding with a coupon rate of 6.8 percent and semiannual payments. The bond currently sells for $1,884 and matures in 18 years. The par value is $2,000 and the company's tax rate is 21 percent. What is the company's aftertax cost of debt?
3.69%
5.84%
4.69%
3.45%
4.09%
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