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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 31 percent, what is the aftertax cost of Ying's debt? Bond 1 NM 4 2 3 Coupon Rate 6.4% 6.9 5.6 7 Price Quote Maturity 5 years 9 years 18 years 29 years Multiple Choice 3.49% 3.64% 3.46% 5.27% 3.82% 105 114 108 118 Face Value $ 24,000,000 40,000,000 49,000,000 63,000,000
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