What would be before-tax component cost of debt

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Oberon, Inc., has a $25 million (face value) 8-year bond issue selling for 94 percent of par that pays an annual coupon of 8.25 percent. What would be Oberon’s before-tax component cost of debt? (Round your answer to 2 decimal places.) Cost of debt %

Reference no: EM131328875

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What would be before-tax component cost of debt : Oberon, Inc., has a $25 million (face value) 8-year bond issue selling for 94 percent of par that pays an annual coupon of 8.25 percent. What would be Oberon’s before-tax component cost of debt? (Round your answer to 2 decimal places.) Cost of debt %

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