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Kilgore Natural Gas has a $1,000 par value bond outstanding that pays 18 percent annual interest. The current yield to maturity on such bonds in
Kilgore Natural Gas has a $1,000 par value bond outstanding that pays 18 percent annual interest. The current yield to maturity on such bonds in the market is 12 percent. Use AppendixB and AppendixD for an approximate answer but calculate your final answer using the formula and financial calculator methods. Compute the price of the bonds for these maturity dates: (Do not round intermediate calculations. Round your final answers to 2 decimal places. Assume interest payments are annual.)
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