Question
JJJ Enterprises is issuing new bonds for a capital budgeting project. The bonds will have 21.00 year maturities with a coupon rate of 7.02% APR
JJJ Enterprises is issuing new bonds for a capital budgeting project. The bonds will have 21.00 year maturities with a coupon rate of 7.02% APR with semi-annual coupon payments (assume a face value of $1,000 on the bond).
The current market rate for similar bonds is 8.64% APR. The company hopes to raise $37.00 million with the new issue. Based on the current market rate, what will one of the new bonds sell for?
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Health Care Marketing Audit A Complete Guide
Authors: Gerardus Blokdyk
2020 Edition
0655947469, 978-0655947462
