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The coupon rate on an issue of debt is 10%. The yield to maturity on this issue is 13%. The corporate tax rate is
The coupon rate on an issue of debt is 10%. The yield to maturity on this issue is 13%. The corporate tax rate is 36%. What would be the approximate after-tax cost of debt for a new issue of bonds? (Round your answer to 2 decimal places.) Multiple Choice 8.32% C 10.47% 9.77% 6.97%
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Accounting Principles
Authors: Jerry Weygandt, Paul Kimmel, Donald Kieso
12th edition
1119132223, 978-1-119-0944, 1118875052, 978-1119132226, 978-1118875056
