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Q5 and Q6 Need step , no fin cal 5. East Corp. issued 25-year bonds with par value $1,000 three years ago at a coupon
Q5 and Q6
5. East Corp. issued 25-year bonds with par value $1,000 three years ago at a coupon rate of 6 percent. The bonds make semiannual payments. The yield to maturity on this bond is 4.8 percent. What is the price of the bond? 6. Burnett Corp. pays a constant $8.5 dividend on its stock. The company will maintain this dividend for the next 15 years and will then cease paying dividends forever. If the required return on this stock is 12 percent, what is the current share price Need step , no fin cal
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