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What is the after-tax cost of debt for the bond

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Tiny Tots has debt? outstanding, currently selling for ?$890 per bond. It matures in 7 ?years, pays interest? annually, and has a 14?% coupon rate. Par is ?$1,000?, and the? firm's tax rate is 30?%.

Problem 1: What is? after-tax cost of debt for Tiny Tots? round two decimals

Problem 2: Calculate the? after-tax cost of debt for the following bond. The face value of the bond is ?$1,000?, interest is paid? annually, the coupon rate is 17?% and the bond matures in 16 years. Assume that the corporate tax rate is 30?%. When the bond was issued it sold for a price of ?$1,130.

Problem 3: What is the after-tax cost of debt for the bond? round two decimals

Problem 4: What is the? after-tax cost of the following preferred? equity? The par value of the preferred share is ?$100 and the annual dividend is 5.5?%. The preferred shares have no stated maturity. The current market price of the share is ?$70. Assume that the corporate tax rate is 42?%.

Problem 5: What is the? after-tax cost of the preferred equity? round two decimals

Reference no: EM132873773

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