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It is 2 0 3 0 and the yields on corporate bonds are as follows: Aaa A Ba 8 . 1 0 % 1 0
It is and the yields on corporate bonds are as follows:
Aaa A Ba
Tau Corporation wishes to raise $ million by an issue of year bonds. Assume a face value of $ and annual coupons. What will be the likely issue price as a percent of face value if Tau is rated a Aaa, b A or c Ba Note: Do not round intermediate calculations. Enter your answers as a percent rounded to decimal places.
a Aaa bond price of face value.
b A bond price of face value.
c Ba bond price of face value.
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