Problem 101 Aftertax Cost of Debt The Heuser Companys curren

Problem 10-1 After-tax Cost of Debt The Heuser Company\'s currently outstanding bonds have a 9% coupon and a 13% yield to maturity, Heuser believes it could issue new bonds at par that would provide a similar yield to maturity. If its marginal tax rate is 35%, what is Heuser\'s after-tax cost of debt? Round your answer to two decimal places.

The after tax cost of debt for the company = 13% *(1 - 0.35)

The after tax cost of debt for the company = 8.45%

$Problem 10-1 After-tax Cost of Debt The Heuser Company\'s currently outstanding bonds have a 9% coupon and a 13% yield to maturity, Heuser believes it could is$

Problem 101 Aftertax Cost of Debt The Heuser Companys curren

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