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The Mountaineer Airline Company has consulted with its investment bankers and determined that they could issue new debt with a yield of 8%. If Mountaineer

The Mountaineer Airline Company has consulted with its investment bankers and determined that they could issue new debt with a yield of 8%. If Mountaineer ' marginal tax rate is 39%, what is the after-tax cost of debt to Mountaineer?

Please show all work and explain what you exactly inputted into the calculator and or excel sheet.

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