Question
Farahs Fashions has $1,000 face-value, 7% coupon bonds outstanding with 12 years to maturity. The bonds make annual coupon payments and bonds of similar risk
Farahs Fashions has $1,000 face-value, 7% coupon bonds outstanding with 12 years to maturity. The bonds make annual coupon payments and bonds of similar risk have a yield to maturity of 7.8%. What is a Farahs Fashions bond worth today?
Select one: a. $938.08 b. $959.40 c. $1,000.00 d. $1,026.12 e. None of the above.
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Fundamentals Of Corporate Finance
Authors: Stephen A Ross, Randolph W Westerfield
5th Edition
9780072313000
