Question
Ying Import has several bond issues outstanding, each making semiannual interest payments. The bonds are listed in the following table. Coupon Bond Rate Price
Ying Import has several bond issues outstanding, each making semiannual interest payments. The bonds are listed in the following table. Coupon Bond Rate Price Quote Maturity Face Value $ 1 5.7% 105.46 5 years 53,000,000 2 234 7.3 114.22 8 years 48,000,000 7.2 112.77 15.5 years 68,000,000 6.5 102.01 25 years 75,000,000 If the corporate tax rate is 23 percent, what is the aftertax cost of the company's debt? (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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Get StartedRecommended Textbook for
Essentials Of Corporate Finance
Authors: Stephen A. Ross, Randolph Westerfield, Bradford D. Jordan
6th Edition
978-0073405131, 9780073405131
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