Bond interest payments before and after taxes Charter Corp. has issued 2,773 debentures with a total principal value of ?$2,773,000.
The bonds have a coupon interest rate of 99?%.
a.What dollar amount of interest per bond can an investor expect to receive each year from? Charter?
b. What is? Charter's total interest expense per year associated with this bond? issue?
c. Assuming that Charter is in a 15?% corporate tax? bracket, what is the? company's net? after-tax interest cost associated with this bond? issue?
a. The dollar amount of interest per bond an investor can expect to receive each year from Charter is ?$.