The companys tax rate is 40 percent what is the pretax cost


Himiny's Cricket Farm Issued a 27-year, 11 percent semiannual bond 2 years ago. The bond currently sells for 92 percent of its face value. The company's tax rate is 40 percent. What is the pretax cost of debt?

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Financial Management: The companys tax rate is 40 percent what is the pretax cost
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