If a Corporation Issued $ 4,000,000 in Bonds That Pay

question 167

Multiple Choice

If a corporation issued $ 4,000,000 in bonds that pay 5% annual interest, what is the annual net cash cost of this borrowing if the income tax rate is 30%?

• A) $ 2,000,000
• B) $ 60,000
• C) $ 200,000
• D) $ 140,000

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Definitions:

Leading Questions

Questions framed in a way that suggests a particular answer, often used to influence the response of the person being asked.

Demographic Questions

are survey questions designed to collect data about the characteristics of populations, such as age, gender, income, education, and employment status.

Dichotomous Questions

Type of survey question that offers two distinct choices for respondents, such as "yes or no" answers.

Completion Rate

The proportion of individuals who finish a task, course, or program out of those who started it, often expressed as a percentage.