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Bonds comprise 74 of total long-term debt what would be

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The long -term debt of Duplex Co. consists of bonds with an average cost of 7.5% and term loans. If the firm's tax rate is 40%, and bonds comprise 74% of total long-term debt, what would be the average cost of the term loans if the weighted average after-tax cost of debt is 4.578%?

Reference no: EM13570274

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