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Tobin's Barbeque has a bank loan at 9% interest and an after-tax cost of debt of 4%. What will the after-tax cost of debt be
Tobin's Barbeque has a bank loan at 9% interest and an after-tax cost of debt of 4%. What will the after-tax cost of debt be when the loan is due if a new loan is taken out yielding 14%. (Do not round intermediate calculations. Round your answer to 2 decimal places.) |
6.22%
11.27%
3.67%
none of these
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