Ying Import has several bond issues outstanding, each making semiannual interest payments. The bonds are listed in
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Question:
Ying Import has several bond issues outstanding, each making semiannual interest payments. The bonds are listed in the following table.
Bond
Coupon Rate
Price Quote
Maturity
Face Value
1
5.00
%
103.18
5
years
$
45,000,000
2
7.10
112.80
8
years
40,000,000
3
6.30
107.45
15
1/2 years
50,000,000
4
5.90
102.75
25
years
65,000,000
If the corporate tax rate is 22percent, what is the aftertax cost of the company'sdebt?(Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
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