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You are considering purchasing a Bedzzled bond that was issued 12 years ago with a stated coupon rate of 4%. The bond has 8 years

You are considering purchasing a Bedzzled bond that was issued 12 years ago with a stated coupon rate of 4%. The bond has 8 years left to maturity and is currently listed at a price of $1,080. What is the after-tax cost of debt? Assume the firm faces a tax rate of 40%.

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