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Use the following data for securities issued by LuccasenCorp. to answer questions 1 - 5: Bonds: The company issued 240.000 bonds. The bonds have a

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Use the following data for securities issued by LuccasenCorp. to answer questions 1 - 5: Bonds: The company issued 240.000 bonds. The bonds have a $1,000 tace value with 7.5% coupons with annual payments, 20 years to maturity, and currently sell for $940. The marginal tax rate is 6% Equity: The company has 9,000,000 shares of (common stock outstandine selling for $71 per share. The company's beta ls 12 the risk free rate is 1%, and the market risk premium is 10% 3. What is the after tax cost of debt? Edit View trert Format Tools Table 12ptParagraph BIVA Tev G D BB

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