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What is heuser after-tax cost of debt

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Reference no: EM131524745

Question: The Heuser Company's currently outstanding 10 percent coupon bonds have a yield to maturity of 12 percent. Heuser believes it could issue at par new bonds that would provide a similar yield to maturity. If its marginal tax rate is 35 percent, what is Heuser's after-tax cost of debt?

Reference no: EM131524745

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