Question
TradeUp Ltd current sources of capital include $1,000 par value bonds that pay a coupon rate of 13%. These bonds will mature in 8 years'
TradeUp Ltd current sources of capital include $1,000 par value bonds that pay a coupon rate of 13%. These bonds will mature in 8 years' time and the current market price for the bonds is $869.
Using the approximate yield to maturity formula, calculate the before tax cost of bonds for TradeUp Ltd.
I can get the YTM % but cant get the costs....
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Introduction to Finance Markets Investments and Financial Management
Authors: Melicher Ronald, Norton Edgar
15th edition
9781118800720, 1118492676, 1118800729, 978-1118492673
