Cost of debtForums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AFM Exams › Cost of debtThis topic has 1 reply, 2 voices, and was last updated 10 years ago by John Moffat.Viewing 2 posts - 1 through 2 (of 2 total)AuthorPosts November 25, 2014 at 2:52 pm #213141 stacie395ParticipantTopics: 39Replies: 54☆☆Hi sir,‘Ferlandis Plc raised $1,000,000 by the issue at par of 7% irredeemable loan stock, interest on which is payable yearly in arrears’.If nothing is mentioned in the question, should we assume the 7% to be before or after tax…?Thanks…~ November 26, 2014 at 9:09 am #213319 John MoffatKeymasterTopics: 57Replies: 54478☆☆☆☆☆The 7% (coupon rate) will always be before tax.AuthorPostsViewing 2 posts - 1 through 2 (of 2 total)You must be logged in to reply to this topic.Log In Username: Password: Keep me signed in Log In