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What is the firm after-tax component cost of debt

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Problem - A company's 6% coupon rate, semiannual payment, $1,000 par value bond that matures in 30 years sells at a price of $515.16. The company's federalplus-state tax rate is 40%. What is the firm's after-tax component cost of debt for purposes of calculating the WACC?

Reference no: EM132899101

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