Cost of debt using both methods (YTM and the approximation formula) Currently, Warren Industries can sell 15-year, $1,000-par-value bonds paying annual interest at a 7% coupon rate. Because current market rates for smitar bonds are just under 7%, Warren can sell its bonds for $1.010 each. Warren will incur flotation costs of $30 per bond The firm is in the 21% tax bracket a. Find the net proceeds from the sale of the bond, No b. Calculate the bond's yield to matunty (YTM) to estimate the before tax and after-tax costs of debt c. Use the approximation formula to estimate the before tax and after-tax costs of debt a. The net proceeds from the sale of the band, No, is $ (Round to the nearest dollar) b. Using the bond's YTM, the before-tax cost of debt is % (Round to two decimal places.) Using the band's YTM, the after tax cost of debt is % (Round to two decimal places.) c. Using the approximation formula, the before tax cost of debt is 3%. (Round to two decimal places.) Using the approxoration formula, the after-tax cost of debt is % (Round to two decimal places)