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Ying Import has several bond issues outstanding, each making semiannual interest payments. The bonds are listed in the following table. If the corporate tax rate
Ying Import has several bond issues outstanding, each making semiannual interest payments. The bonds are listed in the following table. If the corporate tax rate is 32 percent, what is the aftertax cost of Ying's debt? Bond Coupon Rate Price Quote Maturity Face Value 1234 6.3% 102 8 years $16,000,000 7.8 108 12 years 41,000,000 7.1 101 24 years 50,000,000 8.2 113 37 years 59,000,000 Multiple Choice 6.94% 4.95% 4.72% 4.48% 4.53%
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