What is the net cost of the call premium

Reference no: EM131950010

Question: Buchanan Corp. is refunding $11 million worth of 11% debt. The new bonds will be issued for 9%. The corporation's tax rate is 37%. The call premium is 8%. What is the net cost of the call premium? The response must be typed, single spaced, must be in times new roman font (size 12) and must follow the APA format.

Reference no: EM131950010

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