Calculate the proceeds that biltmore national bank received

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The Biltmore National Bank raised capital through the sale of $150 million face value of eight percent coupon rate, ten-year bonds. The bonds paid interest semiannually and were sold at a time when equivalent risk-rated bonds carried a yield rate of ten percent.

Problem 1: Calculate the proceeds that The Biltmore National Bank received from the sale of the 8% bonds.

Reference no: EM132773515

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