Tangshan mining is considering issuing long-term debt. the debt would have a 30 year maturity and a 12 percent annual coupon rate, with coupon payments paid semi-annually. in order to sell the issue, the $1,000 par value bonds must be sold at a discount of 2.5 percent of the par value. in addition, the firm would have to pay flotation or issuance costs of 2.5 percent of the par value. the firm's corporate tax rate is 40 percent. given this information, the after tax cost of debt for tangshan mining would be

a. 12.65%
b. 6.32%
c. 3.79%
d. 7.59%

Compute the cost of not taking the following cash discounts. (use a 360-day year. do not round intermediate calculations. input your final answers as a percent rounded to 2 decimal places.)

Amajor advantage of case studies is

Magic realm, inc., has developed a new fantasy board game. the company sold 15,000 games last year at a selling price of $20 per game. fixed expenses associated with the game total $182,000 per year, and variable expenses are $6 per game. production of the game is entrusted to a printing contractor. variable expenses consist mostly of payments to this contractor.required: 1-a. prepare a contribution format income statement for the game last year.1-b. compute the degree of operating leverage.2. management is confident that the company can sell 58,880 games next year (an increase of 12,880 games, or 28%, over last year). given this assumption: a. what is the expected percentage increase in net operating income for next year? b. what is the expected amount of net operating income for next year? (do not prepare an income statement; use the degree of operating leverage to compute your answer.)