Question
9. Chamberlain Company wants to issue new 16-year bonds for some much-needed expansion projects. The company currently has 6.4 percent coupon bonds on the market
9.
| Chamberlain Company wants to issue new 16-year bonds for some much-needed expansion projects. The company currently has 6.4 percent coupon bonds on the market that sell for $924.72, make semiannual payments, and mature in 16 years. What coupon rate should the company set on its new bonds if it wants them to sell at par? Assume a par value of $1,000. |
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The Financialized Economy
Authors: Alexander Styhre
1st Edition
0367754568, 978-0367754563
