Excel Calculation of Before and After Cost of debt
Bond is redeemable at premium 5% of the 1000 face value i.e 1050.
I J I and J are cell
name.
Tax Rate 35%
Coupon Rate 15%
Maturity Value 1050
Face Value 1000
No of Years of Bond 7
Present Value 976
Brfore Tax Cost of Debt 16.03%
After Tax Cost of Debt Missing % Here i have problem
It should be 10.8%.
I need after cost of debt 10.8% but its not coming
*Remember:* Bond is redeemable at premium 5% of the 1000 face value
i.e 1050.Thanks in advance.--
Sir
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- Jan 24 Wed 2007 20:35
Excel Calculation of After tax Cost of debt Plz Help
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