The coupon rate on an issue of debt is $11\%.$ The yield to maturity on this issue is $10\%.$ The corporate tax rate is $29\%.$ What would be the approximate after$-$tax cost of debt for a new issue of bonds?

Note: Round your answer to $2$ decimal places.

Multiple Choice

$7\mathrm{.}10\%$

$8\mathrm{.}55\%$

$9\mathrm{.}25\%$

Prev

$19$ of $21$

Next