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using excel A corporate bond with a 6.850 percent coupon has 12 years left to maturity. It has had a credit rating of 8B and
using excel
A corporate bond with a 6.850 percent coupon has 12 years left to maturity. It has had a credit rating of 8B and a yield to maturity of 8.4 percent. The firm has recently become more financially stable and the rating agency is upgrading the bonds to BBB. The new appropriate discount rate will be 7.3 percent. (Assume interest payments are semiannual.) What will be the change in the bond's price in dollars? What will be the change in the percentage terms? Note: Do not round intermediate colculations. Round your final answer to 2 decimal places Step by Step Solution
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