Several years ago, the Jakobe Company issued a $1,000 par value, non-callable bond that now has 20 years to maturity and a 1% annual coupon that is paid semiannually. The bond currently sells for $945, and the companys tax rate is 40%. What is the component after-tax cost of debt for use in the WACC calculation?

Your answer should be between 3.34 and 5.43, rounded to 2 decimal places, with no special characters.