(I NEED ANSWER FOR A2) Sheridan Ltd. has issued bonds that never require the principal amount to be repaid to investors. Correspondingly, Sheridan must make interest payments into the infinite future. If the bondholders receive annual payments of $91 and the current price of the bonds is $700.00. (a1) Your answer is correct. What is the pre-tax cost of this debt? (Round answer to 2 decimal places, e.g. 15.25%.) Pre-tax cost of debt eTextbook and Media (a2) Using multiple attempts will impact your score. 50% score reduction after attempt 2 13.00 After-tax cost of debt % What is the after-tax cost of this debt for Sheridan if the firm is in the 40 percent marginal tax rate? (Round intermediate calculations to 4 decimal places, e.g. 1.2514 and final answer to 2 decimal places, e.g. 15.25%.) Attempts: 2 of 3 used % A

make interest poymerta into the infinite fulure it the bondbolifers recelve arinal gampents of 591 ard the cuevent price of the bonds in 370000 (a) 13 Your awnes iscorien Pren tax mit uridetit eTesitiook and Media Nutempte 2 or a uitu (x2+1)