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Business, 17.12.2019 01:31 ejhoff9713

Laurel, inc., has debt outstanding with a coupon rate of 5.9 % and a yield to maturity of 7.2 %. its tax rate is 38 %. what is laurel's effective (after-tax) cost of debt? note: assume that the debt has annual coupons. note: assume that the firm will always be able to utilize its full interest tax shield. the effective after-tax cost of debt is nothing%.

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Laurel, inc., has debt outstanding with a coupon rate of 5.9 % and a yield to maturity of 7.2 %. its...

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