What is the component cost of debt for use in the wacc, Financial Management

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What is the component cost of debt for use in the wacc

To help finance a major expansion, Castro Chemical Company sold a non-callable bond several years ago that now has 20 years to maturity.This bond has a 9.25% annual coupon, paid semiannually, sells at a price of $1,075, and has a par value of $1,000.If the firm's tax rate is 40%, what is the component cost of debt for use in the WACC calculation?

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Financial Management: What is the component cost of debt for use in the wacc

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