Zero-Coupon Bonds (LO2) Suppose your company needs to raise $45 million and you want to issue 30-year bonds for this purpose. Assume the required return on your bond issue will be 6%, and youre evaluating two issue alternatives: a 6% annual coupon bond and a zero-coupon bond. Your companys tax rate is 35%. a. How many of the coupon bonds would you need to issue to raise the $45 million? How many of the zeroes would you need to issue? b. In 30 years, what will your companys repayment be if you issue the coupon bonds? What if you issue the zeroes? c. Based on your answers in (a) and (b), why would you ever want to issue the zeroes? To answer, calculate the firms aftertax cash flows for the first year under the two different scenarios.