Companies sometimes issue floating-rate bonds. In this case the interest rate might be set at (say) 1
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Companies sometimes issue floating-rate bonds. In this case the interest rate might be set at (say) 1 percent above the Treasury bill rate. Would you expect the price of a company’s floating-rate bonds to vary? If so, why?
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If the floating rate debt is risk free then ...View the full answer
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Related Book For
Principles of Corporate Finance
ISBN: 978-0072869460
7th edition
Authors: Richard A. Brealey, Stewart C. Myers
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