David Abbot is interested in purchasing a bond Before-tax cost of debt and after-tax cost of…

David Abbot is interested in purchasing a bond Before-tax cost of debt and after-tax cost of debt Personal Finance Problem issued by Sony. He has obtained the following information on the security: Sony Bond Par value $1000 Coupon interest rate 6.5% Cost $930Years to maturity 10 Corporate tax rate 20% Answer the following questions: a. Calculate the before-tax cost of the Sony bond using the bond’s yield to maturity (YTM) b. Calculate the after-tax cost of the Sony bond given the corporate tax rate. a. The before tax cost of the Sony bond using the bond’s yield to maturity YTM is % Round to two decimal places. b. The after-tax cost of the Sony bond given the corporate tax rate is %. (Round to two decimal places.)