Question: Simple Corp. has one bond issue oustanding, with a maturity of 1 0 . 5 years, a coupon rate of 3 % and a yield

Simple Corp. has one bond issue oustanding, with a maturity of 10.5 years, a coupon rate of 3% and a yield to maturity of 4.5%.
Simple Corp.'s average tax rate is 18% and its marginal tax rate is 31%.
QUESTION/ PART ONE: What is the (pre-tax) cost of debt?
Q2: What is the after-tax cost of debt?
Simple Corp. has one bond issue oustanding, with a maturity of

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