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Rick and Stacy Stark, a married couple, are interested inpurchasing their first boat. They have decided to borrow the boat’spurchase price of $100,000. The family is in the 28% federal incometax bracket. There are two choices for the Stark family: They canborrow the money from the boat dealer at an annual interest rate of8%, or they could take out a $100,000 second mortgage on theirhome. Currently, home equity loans are at rates of 9.2%. There isno problem securing either of these two alternative financingchoices. Rick and Stacy learn that if they borrow from the boatdealership, the interest will not be tax deductible. However, theinterest on the second mortgage will qualify as being taxdeductible on their federal income tax return. a) Calculate theafter-tax cost of borrowing from the boat dealership. ? b)Calculate the after-tax cost of borrowing through a second mortgageon their home. ? c) Which source of borrowing is less costly forthe Stark family? ?