Bond interest payments before and after taxes charter corp


Bond interest payments before and after taxes Charter Corp. has issued 1,801 debentures with a total principal value of ?$1,801,000. The bonds have a coupon interest rate of 6?%.

A) What dollar amount of interest per bond can an investor expect to receive each year from? Charter?

B) What is? Charter's total interest expense per year associated with this bond? issue?

C) Assuming that Charter is in a 34?% corporate tax? bracket, what is the? company's net? after-tax interest cost associated with this bond? issue?

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Financial Management: Bond interest payments before and after taxes charter corp
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