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Dean Keaton Corporation issued the following bonds: Additional Information: Dean Keaton Corporation has a December 31^st year-end Dean Keaton Corporation uses the straight-line method to
Dean Keaton Corporation issued the following bonds: Additional Information: Dean Keaton Corporation has a December 31^st year-end Dean Keaton Corporation uses the straight-line method to amortize any discount or premium on outstanding debt Because of poor marketing efforts by the deal underwriter, no bonds were sold until February 1^st, 2016, at that time the entire issue was sold Instructions For each of the following environments/markets provide the answers to 1), 2), 3) and 4). 6% environment/market 8% environment/market 10% environment/market Provide the pricing at issue What was the dollar amount of the bond discount at issue? What was the dollar amount of the bond premium at issue? What was the JE made by Dean Keaton Corporation on the issue date? Use this chart for your answers
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