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What is the cost of debt if a company has $150,000 of debt with an annual interest rate of 8% and an income tax rate

What is the cost of debt if a company has $150,000 of debt with an annual interest rate of 8% and an income tax rate of 35%?

Select a Choice Below

current question choices

OptionA

10.8%

OptionB

8.0%

OptionC

5.2%

OptionD

2.8%

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