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Three years ago, the Fairchildress Co. issued 20 -year, 7.75 percent semiannual coupon bonds at par. Today, the bond is selling for $1,026. The tax
Three years ago, the Fairchildress Co. issued 20 -year, 7.75 percent semiannual coupon bonds at par. Today, the bond is selling for $1,026. The tax rate is 30%. What is this firm's after-tax cost of debt? 7.48 percent 5.52 percent 5.23 percent 3.74 percent
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