Question
Chailbis Co filed with the SEC to offer $150.0 million par value of 15-year bonds with a 5.75% coupon. In the time since the memorandum
Chailbis Co filed with the SEC to offer $150.0 million par value of 15-year bonds with a 5.75% coupon. In the time since the memorandum was filed with the agency, interest rates have risen and the investment group underwriting the issue informs Chailbis' CFO the bonds will have to be sold at a yield to maturity of 6.10%. The amountChailbis will raise in the sale of the bonds is closest to:
| A. | $144,887,979. | |
| B. | $146,877,595. | |
| C. | $144,934,221. |
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Managerial Finance
Authors: John Fred Weston, Eugene F. Brigham, John Boyle, Robin John Limmack
1st Edition
0039101975, 978-0039101978
