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XYZ has an outstanding bond. It's a 5% semiannual coupon bond maturing in 5 years with a par value of $100 and is trading at
XYZ has an outstanding bond. It's a 5% semiannual coupon bond maturing in 5 years with a par value of $100 and is trading at $95. Income tax rate is 25%. Calculate the after-tax cost of debt for XYZ.
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Finance for Non Financial Managers
Authors: Pierre Bergeron
7th edition
176530835, 978-0176530839
