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Luther Industries needs to raise $ 2 5 million to fund a new office complex. The company plans on issuing ten - year bonds with

Luther Industries needs to raise $25 million to fund a new office complex. The company plans on issuing ten-year bonds with a face value of $1,000 and a coupon rate of 6.8%(annual payments). The following table summarizes the YTM for similar ten-year corporate bonds of various credit ratings:
\table[[Rating,AAA,AA,A,BBB,BB],[YTM,6.71%,6.91%,7.01%,7.41%,7.91%
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