The redeemable debentures of an entity are currently selling for 110% of their face value. The debentures mature in 6 ye

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answerhappygod
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The redeemable debentures of an entity are currently selling for 110% of their face value. The debentures mature in 6 ye

Post by answerhappygod »

The redeemable debentures of an entity are currently
selling for 110% of their face value. The debentures mature in 6
years and pay an annual coupon of 8%. Calculate the cost of the
redeemable debentures if the current tax rate is 28%.
3,86%
5,97%
7,15%
7,72%
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