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Please help me urgent i will give you good rating Perkasa Corporation Berhad is a construction company specializing in building high end residential property in
Please help me urgent i will give you good rating
Perkasa Corporation Berhad is a construction company specializing in building high end residential property in Klang. The company is expanding its' business and would like to issue 100 bonds with par value of RM1,000 each with a coupon rate of 9 percent. The bonds will be matured 12 years from now. Based on the above information, you are required to: a. calculate the total value of the bond if the required return is 7 percent. (2 Marks) b. calculate the total value of the bond if the required return is 11 percent. (2 Marks) explain the relationship between coupon rate, required rate of return, market value and the par value of the bond in relation to part (a) and (b) on the above. (6 Marks) CStep by Step Solution
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