Determining the after-tax cost of debt


MS, Inc. issued 20-year debt a year ago at par value with a coupon rate of 8%, paid annually. Today the debt is selling at $1,050. If the firm's tax bracket is 35%, what is its after-tax cost of debt?

Request for Solution File

Ask an Expert for Answer!!
Finance Basics: Determining the after-tax cost of debt
Reference No:- TGS041438

Expected delivery within 24 Hours