An investor looks at today's yield to maturities in the Wall Street Journal for debt with 10 year maturities. He observes the following: Exxon Mobil (XON) has debt that is AAA rated. Suppose an investor wants to value Exxon bonds that will mature in 10 . years. He sees one Exxon bond that pays a 8.50% annual coupon with a face value of $1,000. Bond prices are often quoted as a percentage of $100 face value increments. How would you quote your results from Part A? (express answer as a percentage, xx.xx\%, of par) Answer format: Percentage Round to: 2 decimal places (Example: 9.24%, \% sign requirod. Will accept decimal format rounded to 4 decimal places (ex: 0.0924)) Many companies look to re-finance their outstanding debt when interest rates fall significantly, Javert Toy Company has $50.00 million in debt outstanding that pays an 8.50% APR coupon. The debt has an average maturity of 10.00 years. The firm can refinance at an annual rate of 5.25%. That is, investors want 5.25% today for bonds of similar risk and maturity. How much will Javert Toy company pay to buy back its current outstanding bonds?(answer in terms of millions, so 1,000,000 would be 1.00 ) Cinqua Terra Incorporated issued 10 -year bonds three years ago with a coupon rate of 8.00% APR. The bonds pay semi-annual coupons, have a face value of $1,000 each and were issued at par value. Cinqua Terra bonds currently trade at $1,077.00. Given your answer to the 6-month return, what is the yield to maturity (as an EAR) for holding the bond? Answer format: Percentage Round to: 2 decimal places (Example: 9.24%,% sign required. Will accept decimal format rounded to 4 decimal places (ex: 0.0924)) $50.00 million in debt outstanding that pays an 8.50% APR coupon. The debt has an average maturity of 10.00 years. The firm can refinance at an annual rate of 5.25%. That is, investors want 5.25% today for bonds of similar risk and maturity. How much will Javert save on interest payments with this re-finance? You can assume that Javert will issue debt to cover the full price of repurchasing the old debt from part A. (answer in terms of millions, so 1,000,000 would be 1.00) Answer format: Currency: Round to: 4 decimal places. $50.00 million in debt outstanding that pays an 8.50% APR coupon. The debt has an average maturity of 10.00 years. The firm can refinance at an annual rate of 5.25%. That is, investors want 5.25% today for bonds of similar risk and maturity. How much will Javert save on interest payments with this re-finance? You can assume that Javert will issue debt to cover the full price of repurchasing the old debt from part A. (answer in terms of millions, so 1,000,000 would be 1.00) Answer format: Currency: Round to: 4 decimal places