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You are estimating your companys WACC. In preparation, you collected the following information. The company has a single bond issue outstanding. Each bond has a
You are estimating your companys WACC. In preparation, you collected the following information. The company has a single bond issue outstanding. Each bond has a face value of $25,000, 15 years to maturity, a 6% coupon rate, paid semi-annually, and current market value of $30,599.11. Estimate the companys before tax cost of capital. Select one: a. 6% b. 2% c. 5% d. 3% e. 4%
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