Virginia's Vegan Turkeys is CRAZY busy. She is contemplating the purchase of an additional line that will help her increase production capacity on her signature Faux Turkey Loaf $5$ years. At the end of its useful life $(5$ years$),$ Virginia believes that it will be worthless$-$zero salvage value. She plans to use straight$-$line depreciation over the $5$ year life. Her tax rate is $25\%.12\%.$

Q$1.$ Calculate Virginia's after$-$tax cost of debt.

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