What is dreyfus after-tax cost of debt

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The Dreyfus Company's currently outstanding bonds have a 7.5% coupon and a 9.2% yield to maturity (YTM). Dreyfus believes that it could issue new bonds at par that would provide a similar YTM. If its marginal tax rate is 35%, what is Dreyfus's after-tax cost of debt?

Reference no: EM132406493

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