Question
please help with excel step-by-step (detailed) much appreciated **IMPORTANT** PLEASE MAKE SURE TO USE EXCEL WITH FORMULAS Warren Corp stock sells for $40 per share.
please help with excel step-by-step (detailed) much appreciated **IMPORTANT** PLEASE MAKE SURE TO USE EXCEL WITH FORMULAS
Warren Corp stock sells for $40 per share. The company wants to sell some 10-year maturity, semi-annual annual coupon payments bond at $1,000 (par value). Each bond would have 30 warrants attached to it, each exercisable into one share of stock at an exercise price of $45. Firms straight bonds yield to maturity is 10%. Each warrant is expected to have a market value of $4 given that the stock sells for $42. What annual coupon rate must the company set on the bonds in order to sell the bonds-with-warrants at par value?
PLEASE HELP WITH EXCEL STEP-BY-STEP (IN FULL detail) much appreciated **IMPORTANT** I WANT TO LEARN
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