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What is the net cost of the call premium.

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X Corp is refunding 12 million worth of 10%debt. The corporation's tax rate is 35%. The call premium is 9%. What is the net cost of the call premium? Need to see calculation

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The expert calculates the net cost of the call premium.

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X Corp is refunding 12 million worth of 10%debt. The corporation's tax rate is 35%. The call premium is 9%. What is the net cost of the call premium? Need to see calculation

Net cost of call premium= Amount of call premium - Tax ...

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