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Ying Import has several bond issues outstanding, each making semiannual interest payments. The bonds are listed in the table below. Bond Coupon Rate Price Quote
Ying Import has several bond issues outstanding, each making semiannual interest payments. The bonds are listed in the table below.
| Bond | Coupon Rate | Price Quote | Maturity | Face Value |
|---|---|---|---|---|
| 1 | 8.90% | 106.9 | 3 years | $ 28,000,000 |
| 2 | 7.10 | 93.5 | 6 years | 30,000,000 |
| 3 | 8.60 | 105.7 | 13.5 years | 35,000,000 |
| 4 | 9.10 | 95.5 | 23 years | 50,000,000 |
If the corporate tax rate is 24 percent, what is the aftertax cost of the companys debt?
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