A8. The current price of a bond is $875.00. Its face value is $1,000. The number of years to maturity is 12. A coupon rate 8% is paid out semi-annually. The corporate tax rate is 30%. What is the after-tax cost of this debt? (a) 5.05% (b) 4.95% (c) 6.86% (d) 4.46% e) 7.84% a 3c d pe