The coupon rate of a debt issuance is 8%. The yield to maturity of this issue is

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The coupon rate of a debt issuance is 8%. The yield to maturity of this issue is 10%. The corporate tax rate is 31%. What would be the approximate after-tax cost of debt for a new bond issue?

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Foundations of Financial Management

ISBN: 978-1259024979

10th Canadian edition

Authors: Stanley Block, Geoffrey Hirt, Bartley Danielsen, Doug Short, Michael Perretta

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Posted Date: Jun 14, 2023 07:01 AM

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The coupon rate of a debt issuance is 8%. The yield to maturity of this issue is

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Foundations of Financial Management

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