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    WACC

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    3. Several years ago the Jakob Company sold a $1,000 par value, noncallable bond that now has 20 years to maturity and a 7.00% annual coupon that is paid semiannually. The bond currently sells for $1,200, and the company's tax rate is 40%. What is the component cost of debt for use in the WACC calculation?
    2.54%
    2.70%
    3.09%
    3.21%
    3.63%

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    https://brainmass.com/business/weighted-average-cost-of-capital/310631

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