Question: Johnson Inc. has several bond issues outstanding, each making semiannual interest payments. The bonds are listed in the following table. If the corporate tax rate

Johnson Inc. has several bond issues outstanding, each making semiannual interest payments. The bonds are listed in the following table. If the corporate tax rate is 30 percent, what is the aftertax cost of Johnson's debt?

Bond	Coupon Rate	Price Quote	Maturity	Face Value
1	6%	109	4 years	$ 23,000,000
2	6.8	116	9 years	45,000,000
3	5.3	106	19 years	48,000,000
4	6.2	116	33 years	60,000,000

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