A company has an outstanding bond issue ($1,000 par) with 7 years remaining to maturity and an annual coupon rate of 6%. If the bond is currently selling at a price of $1,150, what is the company's after-tax cost of debt

Pam is a low-risk careful driver and fran is a high-risk aggressive driver. to reveal their driver types, an auto-insurance company a. refuses to insure high-risk drivers b. charges a higher premium to owners of newer cars than to owners of older cars c. offers policies that enable drivers to reveal their private information d. uses a pooling equilibrium e. requires drivers to categorize themselves as high-risk or low-risk on the application form