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I need help in as discussion post. My selected company is GIS mills. I need answer to following questions: If you are an investor who

I need help in as discussion post.

My selected company is GIS mills.

I need answer to following questions:

If you are an investor who is looking for a corporate bond to invest to, are you going to buy a bond that you chose? To answer this question you should complete three steps:

1). Choose the bond that has the Last Price listed on the website. Copy the bond's information from the website.

2). Describe the main elements of the bond:

  • Coupon rate
  • Calculate annual coupon payment (assuming face value $1,000)
  • What is the frequency of coupon payments of the bond? If the frequency is greater than 1, how much is payment is going to be?
  • Maturity,
  • Rating. Explain the meaning of rating.
  • The last price listed on the website
  • How much the investor would pay for the bond assuming $1,000 face value and using the last price listed on the website?
  • Calculate the current yield of the bond assuming that par value of the bond is $1,000
  • How much is the bond's YTM listed on the website? Explain the meaning of YTM.
  • Is the bond callable or not? If the bond that you chose is callable (non-callable), will it change your decision to buy it?

3) Take a look at the balance sheet and income statement of the company. What data or ratios support your decision to buy this bond or not? You should develop a specific recommendation, with supporting rationale to explain your answer.

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