Great seneca inc sells 100 million worth of 29-year to


Great Seneca Inc. sells $100 million worth of 29-year to maturity 10.59% annual coupon bonds. The net proceeds (proceeds after flotation costs) are $980 for each $1,000 bond. The firm's marginal tax rate is 30%. What is the after-tax cost of capital for this debt financing? Please show all calculations.

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Financial Management: Great seneca inc sells 100 million worth of 29-year to
Reference No:- TGS01129332

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