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Intro Great Nevada Inc. has 3 bond issues outstanding: Book value of issue Coupon rate YTM Price (%) $18,000,000 5% 5.9% 92.41 $5,000,000 $27,000,000
Intro Great Nevada Inc. has 3 bond issues outstanding: Book value of issue Coupon rate YTM Price (%) $18,000,000 5% 5.9% 92.41 $5,000,000 $27,000,000 7% 3.7% 122.5 6.5% 7% 94.7 Attempt 1/3 for 5 pts. Part 1 What is the (pre-tax) cost of debt based only on the first bond? 3+ decimals Submit Part 2 What is the market value of the first bond issue? 0+ decimals Submit Attempt 1/3 for 5 pts. Part 3 What is the combined market value of all 3 issues? 0+ decimals Submit Part 4 What is the actual (pre-tax) cost of debt 3+ decimals Submit Attempt 1/3 for 5 pts. Attempt 1/3 for 5 pts.
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