Question
General Matters outstanding bond issue has a coupon rate of 11.0%, and it sells at a yield to maturity of 8.95%. The firm wishes to
General Matters outstanding bond issue has a coupon rate of 11.0%, and it sells at a yield to maturity of 8.95%. The firm wishes to issue additional bonds to the public at face value.
What coupon rate must the new bonds offer in order to sell at face value? (Enter your answer as a percent rounded to 2 decimal places.)
Coupon Rate = ____% ?
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Financial Shenanigans How To Detect Accounting Gimmicks And Fraud In Financial Reports
Authors: Howard M. Schilit, Jeremy Perler, Yoni Engelhart
4th Edition
126011726X, 9781260117264
