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The textbook really confused me on how to find the book value & market value Jiminy's Cricket Farm issued a 30-year, 7 percent semiannual bond
The textbook really confused me on how to find the book value & market value
Jiminy's Cricket Farm issued a 30-year, 7 percent semiannual bond 6 years ago. The bond currently sells for 90 percent of its face value. The book value of this debt issue is $98 million. In addition, the company has a second debt issue, a zero coupon bond with 9 years left to maturity; the book value of this issue is $68 million, and it sells for 56.5 percent of par. The company |
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