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Cliff corp before tax cost of debt

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Cliff Corp has 1,000 outstanding bonds maturing in exactly 8 years with a face value of $1,000. The bonds have an 8% coupon rate, make quarterly payment and currently sell for 96% of par. What is Cliff Corp's before tax cost of debt?

Reference no: EM131468774

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Cliff corp before tax cost of debt : The bonds have an 8% coupon rate, make quarterly payment and currently sell for 96% of par. What is Cliff Corp's before tax cost of debt?
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