Question: Level 3 Technologies has a bond issuance with a current price of $1,170.44. The coupon rate is 8.69% and the time to maturity is 11

Level 3 Technologies has a bond issuance with a current price of $1,170.44. The coupon rate is 8.69% and the time to maturity is 11 years. Assuming a 24% tax rate, what would be your estimate Level 3's after-tax cost of debt?

Multiple Choice

6.50%
1.56%
4.92%
6.48%
4.94%

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