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15-04-2024
Business

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A company has 5 million in debt outstanding with a coupon rate of 12%. Currently, the yield to maturity
(YTM) on these bonds is 14%. If the firm.… tax rate is 40%, Twhat is the company…s after-tax cost of debt?
A.5.6%.
B.14.00%
C.8.40%

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