Question: the flotation cost was $ 1 9 . 5 3 per bond. Pepsi's corporate tax rate is 2 1 % . a . Ignoring flotation

the flotation cost was $19.53 per bond. Pepsi's corporate tax rate is 21%.
a. Ignoring flotation costs, what is Pepsi's before-tax and after-tax costs of debt?
b. Considering flotation costs, what is Pepsi's before-tax and after-tax costs of debt?
the flotation cost was $19.53 per bond. Pepsi's corporate tax rate

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