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Suppose SeatFreak, a ticket platform, has bond currently outstanding with 18 years left to maturity. The coupon rate is 9% paid annually. The bond is

Suppose SeatFreak, a ticket platform, has bond currently outstanding with 18 years left to maturity. The coupon rate is 9% paid annually. The bond is currently selling for $1050 per $1,000 bond. What is the cost of debt?

A. 4.22%

B. 8.45%

C. 16.88%

D. None of these

E. 9.10%

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