Refunding Analysis Mullet Technologies is considering whether or not to refund a $ 5 million, 12. coupon, 30 year bond issue that was sold 5 years ago. It is amortizing $3 million of flotation costs on the 129 bonds over the issue's 30-year life. Mullet's investment banks have indicated that the company could sell a new 25 years at an interest rate of 9% in today's market. Neither they nor Mullet's management anticipate that interest rates will fall below 9% any time soon, but there is a chance that rates will increase the new A call premium of 129 would be required to retire the old bonds, and flotation costs on the new issue would amount to $3 min. Mullet's marginal federal plus state tax rate is bonds would be issued 1 month before the old bonds are called, with the proceeds being invested in short-term government securities returning annually during the term period descent a. Conduct a complete bond refunding analysis. What is the band refunding's NPV? Do not round intermediate calculations. Round your answer to the b. What factors would influence Mulet's decision to refund now rather than later