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Browning Cookware, Inc. sold an issue of 30-year, $1,000 par value bonds to the public. The bonds carry a 10.85% coupon rate and pay interest semiannually. It is now 12 years later. The current market rate of interest on the Browning Cookware, Inc. bonds is 8.45%. What is the current market price (intrinsic value) of the bonds? Round off to the nearest $1. 5. 7. Pace Corp. has a $1,000 par value, 30-year bond outstanding that was issued 20 years ago at an annual coupon rate of 10%, paid semiannually. Market interest rates on similar bonds are 7%. Calculate the bond's price. Based on current market values, Helmuth Inc.'s capital structure is 30% debt, 20 preferred stock, and 50% common stock. When using book values, capital structure is 25% debt, 10% preferred stock, and 65% common stock. The required return on each component is debt-10%, preferred stock-1196, and common stock-18%. The marginal tax rate is 40%, what rate of return must Helmuth Inc. earn on its investments if the value of the firm is to remain unchanged? 8