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Business, 06.07.2019 02:10 edeliz3886

Viserion, inc., is trying to determine its cost of debt. the firm has a debt issue outstanding with 14 years to maturity that is quoted at 105 percent of face value. the issue makes semiannual payments and has an embedded cost of 6 percent annually. a. what is the company’s pretax cost of debt? (do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e. g., 32.16.) b. if the tax rate is 23 percent, what is the aftertax cost of debt?

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