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Cost of debt with fees. Kenny Enterprises will issue a bond with a par value of $1,000, a maturity of twenty years, and a coupon
Cost of debt with fees. Kenny Enterprises will issue a bond with a par value of $1,000, a maturity of twenty years, and a coupon rate of 7.7% with semiannual payments, and will use an investment bank that charges $20 per bond for its services. What is the cost of debt for Kenny Enterprises at the following market prices? a. $897.89 b. $1,004.00 c. $1,070.39 d. $1,170.46 a. What is the cost of debt for Kenny Enterprises at a market price of $897.89 ? % (Round to two decimal places.) b. What is the cost of debt for Kenny Enterprises at a market price of $1,004.00 ? % (Round to two decimal places.) c. What is the cost of debt for Kenny Enterprises at a market price of $1,070.39 ? |\% (Round to two decimal blaces.)
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