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please help with excel please bold excel formula and answer and explain Input area: Years to maturity Required return Amount needed Face value Coupon rate
please help with excel please bold excel formula and answer and explain
Input area: Years to maturity Required return Amount needed Face value Coupon rate Tax rate Year bond is called Spread above Treasury Treasury rate at call Treasury rate at call Output area: Nores: 2) Price of coupon band \# of coupon bonds needed Face Value Price of zero coupon bond = PV of zero coupon bond \# of zeroes noeded 3) Repeyment of coupen bonds Repayment of zerces Year 1 interest payments: Pretax coupon payment Aftertax coupon payment Value of zero in one year Zero coupon growth Zero coupon bond During the life of a bond, the zero generates cash inflows to the firm in the form of the interest tax shield of debt. 5) Make whole price at 5.6% Treasury rate $1,044.69 Calculate PV of remaining interest and principal payments at the rate specified in the identure (Treasury rate plus 0.4% ). Make whole price at $.10 Treasury rate Calculate PV of remaining interest and principal payments at the rate specified in the identure (Treasury rate plus 0.4% ). Input area: Years to maturity Required return Amount needed Face value Coupon rate Tax rate Year bond is called Spread above Treasury Treasury rate at call Treasury rate at call Output area: Nores: 2) Price of coupon band \# of coupon bonds needed Face Value Price of zero coupon bond = PV of zero coupon bond \# of zeroes noeded 3) Repeyment of coupen bonds Repayment of zerces Year 1 interest payments: Pretax coupon payment Aftertax coupon payment Value of zero in one year Zero coupon growth Zero coupon bond During the life of a bond, the zero generates cash inflows to the firm in the form of the interest tax shield of debt. 5) Make whole price at 5.6% Treasury rate $1,044.69 Calculate PV of remaining interest and principal payments at the rate specified in the identure (Treasury rate plus 0.4% ). Make whole price at $.10 Treasury rate Calculate PV of remaining interest and principal payments at the rate specified in the identure (Treasury rate plus 0.4% )Step by Step Solution
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