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Component of debt used in the wacc calculations

Question: In an effort to raise money, a company sold a bond that now has 20 years of maturity. The bond has a 7% annual coupon which is paid quarterly and it now sells at a price of 1103.58. The bond has a par value of $1000 and can't be called. If the companies tax rate is now 40%, what component of debt should be used in the WACC calculations?

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Finance Basics: Component of debt used in the wacc calculations

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