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The aftertax cost of ebm corporations outstanding bond is

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Reference no: EM13569309

The aftertax cost of EBM Corporation's outstanding bond is 6.6%. If the firm is in the 34% tax bracket, what is the before tax cost (yield) of that debt?

Question options:
a) 10%
b) 7.5%
c) 12%
d) 15%

Reference no: EM13569309

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