Katydid clothes has a 130 million face value 30-year bond, Ask an Expert

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KatyDid Clothes has a $130 million (face value) 30-year bond issue selling for 106 percent of par that carries a coupon rate of 10 percent, paid semiannually.

What would be Katydid’s before-tax component cost of debt? (Round your answer to 2 decimal places.)

Cost of debt %

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M92391078

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