To help finance a major expansion, Lowell Chemical Company sold a noncallable bond several years ago that now has 15 years to maturity. This bond has a 9.00% annual coupon, paid semiannually, sells at a price of $1,175, and has a par value of $1,000. If the firm's tax rate is 40%, what is the component cost of debt for use in the WACC calculation? After-tax cost of debt = rd(1 T)