Question
One of General Electric's bond issues has an annual coupon rate of 3.6%, a face value of $1,000 and a required return of 8%. What
One of General Electric's bond issues has an annual coupon rate of 3.6%, a face value of $1,000 and a required return of 8%.
What is the value (or price) of the bond if the bond matures in 5 years?
What is the value of the bond if the bond matures in 10 years?
What is the value of the bond if the bond matures in 30 years?
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Fundamentals of Corporate Finance
Authors: Jonathan Berk, Peter DeMarzo, Jarrad Harford, David A. Stangeland, Andras Marosi
1st canadian edition
978-0133400694
