Suppose the General Tool Company issued a 30-year, 7 percent bond 8 years ago. The bond is currently selling for 96 percent of its face value, or $960. What is General Tool’s cost of debt?
Suppose the General Tool Company issued a 30-year, 7 percent bond 8 years ago. The bond is currently selling for 96 percent of its face value, or $960. What is General Tool’s cost of debt?