Question: Great Lakes Pocking has two bond issues outstanding. The first issue has a coupon rate of 3.82 percent, a par value of $2,000 per bond,

 Great Lakes Pocking has two bond issues outstanding. The first issue
has a coupon rate of 3.82 percent, a par value of $2,000

Great Lakes Pocking has two bond issues outstanding. The first issue has a coupon rate of 3.82 percent, a par value of $2,000 per bond, matures in 6 years, has a total face value of $5.2 mimion, and is quoted at 103 percent of face value. The second issue has a coupon rote of 6.59 percent, a par value of 51000 per bond, matures in 14 years. has a total face value of 50.5 million, and is quoted at to7 percent of face value. Both bonds pay interest semiannually, the companys tax rote is 22 percent. What is the firmis welghted average afiertax cost of debi? Multiple Cholce 4.96% 3.87% 3.56% 3.71% 4.4196

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