Question
BDJ Co. wants to issue new 21-year bonds for some much-needed expansion projects. The company currently has 8.6 percent coupon bonds on the market that
| BDJ Co. wants to issue new 21-year bonds for some much-needed expansion projects. The company currently has 8.6 percent coupon bonds on the market that sell for $1,126, make semiannual payments, and mature in 21 years. |
| Required: |
| What coupon rate should the company set on its new bonds if it wants them to sell at par? |
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Before You Buy The Homebuyers Handbook For Todays Market
Authors: Michael Corbett, Jim Gillespie
1st Edition
0452296803, 978-0452296800
