Question
You are considering purchasing a Sony bond that was issued 12 years ago with a stated coupon rate of 4% and a maturity of 30
You are considering purchasing a Sony bond that was issued 12 years ago with a stated coupon rate of 4% and a maturity of 30 years. The bond is currently listed at a price of 98. What is the after-tax cost of debt if the tax rate is 40%?
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Principles Of Investments
Authors: Alan Marcus, Zvi Bodie, Michael Drew, Anup Basu, Alex Kane
1st Edition
0071012389, 978-0071012386
