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Refer to the following information: Amount issued $400 million Offered Issued at a price of 101.50% plus accrued interest (proceeds to company 98.717%) through Citi
Refer to the following information:
Amount issued | $400 million |
Offered | Issued at a price of 101.50% plus accrued interest (proceeds to company 98.717%) through Citi and JPMorgan. |
Interest | 9.25% per annum payable June 15 and December 15. |
Maturity | June 15, 2041 |
Denomination, face value, or principal | $1,000 |
The ATAM bond was issued on June 1, 2011, at 101.50%. How much would you have to pay to buy one bond delivered on June 15? Dont forget to include accrued interest. Assume a 365-day year. (Do not round intermediate calculations. Enter your answer as a percent of par rounded to 3 decimal places.)
What is the amount to be paid on each bond at maturity?
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