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Use the following data to calculate the cost of Debt for the bond issues of the JHC Corporation (one perecentage that represents the after tax

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Use the following data to calculate the cost of Debt for the bond issues of the JHC Corporation (one perecentage that represents the after tax cost for all the debt). Bond #1 $ 780,000,000 98.00 4.50% Bond #2 $ 420,000,000 102.75 5.30% Face Value Current Price Coupon Rate Coyapon payments per year Years remaining until maturity 2 2 14 20 Tax Rate = 24% a. 4.90% b. 3.58% 3.67% d. 4.83%

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