financial calc

Seaport Gondola Corporation (SGC) wants to issue $20 million in 10 year bonds to build a gondola to transport commuters from South Station to the Seaport District. SGC plans to issue 10 year bonds with a face value of $1000 and a semi-annual 5% coupon. The following table summarizes the yield to maturity for 10 year semi-annual coupon corporat bonds with various credit ratings. AA Rating: A BBB BB 5.50% 4.00% 8.00% YTM 5.00% 25. Calculate the price of the bond if SGC has a BBB rating: A) $961.93 B) $962.31 C) $940.25 D) $1,342.61 puTLS