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Score: 0 of 1 pt 6 of 10 (3 complete) HW Score: 27.5%, 2.75 of 10 pts 15-12 (similar to) Question Help o Selling bonds.
Score: 0 of 1 pt 6 of 10 (3 complete) HW Score: 27.5%, 2.75 of 10 pts 15-12 (similar to) Question Help o Selling bonds. Rawlings needs to raise $44,400,000 for its new manufacturing plant in Jamaica. Berkman Investment Bank will sell the bond for a commission of 2.7%. The market yield is currently 7.1% on twenty-year zero-coupon bonds. If Rawlings wants to issue a zero-coupon bond, how many bonds will it need to sell to raise the $44,400,000? Assume that the bond is semiannual and issued at a par value of $1,000. How many bonds will Rawlings need to sell to raise the $44,400,000? (Round to the nearest whole number.)
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