Question: QUESTION 2 Keys Printing plans to issue a $1,000 par value, 20-year noncellable bond with a 7 marginal tax rate is 40.00%, but considering a

 QUESTION 2 Keys Printing plans to issue a $1,000 par value,

QUESTION 2 Keys Printing plans to issue a $1,000 par value, 20-year noncellable bond with a 7 marginal tax rate is 40.00%, but considering a cost of debt used to calculate the WACC change if the new tax rate was adopted? 7.00% annual coupon, paid sema The company's Congress is considering a chnge in the corporate tax rate to 7.50%. By how much would the component a. 2.28% () b. 1.75% 2.09% @ d. 1.71% e. 2.12%

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