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Question: Cost of Debt. Go to finra-markets.morningstar.com/BondCenter/ and look up the outstanding bonds for Nike. Record the most recent price and YTM of each bond issue. Now go to www.sec.gov and find the most recent 10Q or 10K report filed by the company and find the book value of each bond issue. Assuming Nike's tax rate is 38 percent, what is the cost of debt using book value weights? What is the cost of debt using market value weights? Which of these numbers are more relevant?

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