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The outstanding debt of Berstin Corp. has ten years to maturity, a current yield of 9%, and a price of $95. What is the pretax
The outstanding debt of Berstin Corp. has ten years to maturity, a current yield of 9%, and a price of $95. What is the pretax cost of debt if the tax rate is 40%. Note: The current yield of a bond is its annual coupon divided by its price.
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