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Current bond issue data Par value $ 45,000,000 OLD Coupon rate 6.2500% OLD Original maturity 40 Remaining maturity 25 OLD Original flotation costs $ 4,900,000

Current bond issue data

Par value $ 45,000,000

OLD Coupon rate 6.2500%

OLD Original maturity 40

Remaining maturity 25

OLD Original flotation costs $ 4,900,000

Call premium 5.0000%

Tax rate 40%

Refunding data

NEW Coupon rate 4.0000%

NEW Maturity 25

NEW Flotation costs $ 3,600,000

Using this information how do you get the INITIAL CASH OUTLAY

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