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You are analyzing the after-tax cost of debt for a firm. You know that the firm's 12-year maturity, 16.00 percent semiannual coupon bonds are

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You are analyzing the after-tax cost of debt for a firm. You know that the firm's 12-year maturity, 16.00 percent semiannual coupon bonds are selling at a price of $1,460. Assuming that these bonds are the only debt outstanding for the firm. Problem 13.19 a1-a3(a1) Your answer is correct. What is the current YTM of the bonds? (Round intermediate calculations to 4 decimal places, e.g. 1.2514 and final answer to 2 decimal places, e.g. 15.25%.) YTM eTextbook and Media 9.50 % Using multiple attempts will impact your score. 50% score reduction after attempt 2 Problem 13.19 a1-a3(a2) Your answer is correct. Attempts: 1 of 3 used What is the after-tax cost of debt for this firm if it has a marginal tax rate of 34 percent? (Round final answer to 2 decimal places, e.g. 15.25%.) After-tax cost of debt eTextbook and Media Using multiple attempts will impact your score. 50% score reduction after attempt 2 Problem 13.19 a1-a3(a3) 6.27 % Attempts: 1 of 3 used * Your answer is incorrect. What is the current YTM of the bonds and after-tax cost of debt for this firm if the bonds are selling at par? (Round final answers to 2 decimal places, e.g. 15.25%.) YTM 8% After-tax cost of debt 5.28 %

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