Suppose a zero-coupon bond is selling for 61400 today it, Ask an Expert

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Suppose a zero-coupon bond is selling for $614.00 today. It promises to pay $1,000 in exactly 10 years with annual compounding. What is the firm's after-tax cost of debt if this is its sole debt outstanding (assuming the firm is in the 20% tax bracket)

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Category:- Basic Finance
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