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To help finance a major expansion, Concord Company sold a noncallable bond several years ago...

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Finance

To help finance a major expansion, Concord Company sold a noncallable bond several years ago that now has 10 years to maturity. This bond has a 8.2% annual coupon, paid semiannually, sells at a price of $1,100, and has a par value of $1,000. If the firms tax rate is 35%, what is the component cost of debt for use in the WACC calculation? 4.42% 4.61% 4.06% 4.32%

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