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Question 1 3 [ 5 marks ] On Dec. 3 1 , 2 0 4 0 , Tristar Aero Dynamics, Inc. ( TAD ) has
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On Dec. Tristar Aero Dynamics, Inc. TAD has issued a threeyear note with a face value of $ and no interim coupon payment. The discount rate for the firms debt capital is
Required: i Compute the price of the zerocoupon debt as of Dec. In addition, ii find interest expenses and the balance of the debt principal to be reported at the end of each year, through Lecture note pp and p
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