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What is the firm''s component cost of debt

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

Reference no: EM131100934

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