$0$:$39$:$54$ remai

Question $8(1$ point$)$

Keys Printing plans to issue a $$1,000$ par value, $20-$year noncallable bond with a $7\mathrm{.}00\%$ annual coupon, paid semiannually. The company's marginal tax rate is $40\mathrm{.}00\%,$ but Congress is considering a change in the corporate tax rate to $45\mathrm{.}00\%.$ By how much would the component cost of debt used to calculate the WACC change if the new tax rate was adopted?

A$)-0\mathrm{.}36\%$

B$)-0\mathrm{.}42\%$

C$)-0\mathrm{.}44\%$

D$)-0\mathrm{.}30\%$

E$)-0\mathrm{.}35\%$