Several years ago, the Jakobe Company issued a $1,000 par value, non - callable bond that now has 20 years to maturity and a 7% annual coupon that is paid semiannually. The bond currently sells for $995, and the company's 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