A bond that has a 1000 par value face valueand a contract


A bond that has a $1000 par value (face value)and a contract or coupon interest rate of 11.2 percent. Interest payments are $56.00 and are paid semiannually. The bonds have a current market value of $1128 and will mature in 10 years. The firm marginal tax rate is 34 percent. After tax-cost of debt is % ?

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Financial Management: A bond that has a 1000 par value face valueand a contract
Reference No:- TGS01130560

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