Question: A company has just issued 4-year zero coupon bonds with a maturity value of $1,000 and a yield to maturity of 9 percent. The company's

A company has just issued 4-year zero coupon bonds with a maturity value of $1,000 and a yield to maturity of 9 percent. The company's tax rate is 40 percent. What is the after-tax cost of debt for the company?

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