Percent and carrying a coupon rate

Assignment Help Finance Basics
Reference no: EM132144555

A firm issues $100,000,000 of bond priced at 99 percent and carrying a coupon rate of 12%. Calculate:

a) The number of bond actually issued.

b) the price paid by the investors for each bond

c) the dollar coupon to be paid on each bonds.

Reference no: EM132144555

Questions Cloud

How to find efffective annual rate of interest : How to find efffective annual rate of interest. The terms of sale are 4/10, net 49.
Monthly payments starting : You take out an $8,700 car loan that calls for 36 monthly payments starting after 1 month at an APR of 9%.
Find rate of return on stock : What are the steps to find stock price in 15 years if ABC's next dividend is expected to be $6.16, its required return is 18%, its growth rate is 7%.
Stemming from foreign exchange and political factors : In capital budgeting for a multinational company, the starting discount rate to which risks stemming from foreign exchange and political factors
Percent and carrying a coupon rate : A firm issues $100,000,000 of bond priced at 99 percent and carrying a coupon rate of 12%. Calculate:
What is the correct debt ratio : Polycorp has a debt equity ratio of 0.65. What is the correct debt ratio D/V that should be used in the WACC formula?
Suggests that an investment in disney : Assume now that you are an active investor and that your research suggests that an investment in Disney will yield 12.5% a year for the next 5 years.
What is the chinese yuan-australian dollar cross rate : The exchange rates in New York are: $1 = AUD 1.2591 and $1 = £0.6047 A dealer is offering a quote: AUD 1 = £0.7668.What is the profit you can earn on $11515
Vwap and ask vwap in calculating vwap : Do we need to separate bid VWAP and ask VWAP in calculating VWAP? For example, for my portfolio VWAP

Reviews

Write a Review

Finance Basics Questions & Answers

  Determine additional percentage of the total variation

An economist is interested to see how consumption for an economy is influenced by gross domestic product and aggregate price.

  What is the annual carrying cost of the t-shirt inventory

What is the annual carrying cost of the t-shirt inventory

  What is capital rationing and how does it affect your cost

what is capital rationing and how does it affect your cost of capital and your capital budgeting

  What are the four primary financial statements

What are the three major legal forms of business organizations? Which one is chosen by most of the largest companies in the United States?

  What is annual yield to maturity

you are about to invest in a 10 yr 8% semiannual bond. The bond is selling at $980.What is annual yield to maturity.

  You won believe what you learned this quarter

"You Won't Believe What You Learned This Quarter!" Please respond to the following:

  What is the expected real interest rate on the treasury bill

What is the yield to maturity on a Treasury bill that matures one year from now, has a price of $1,010, and has a face value of $1,000? If the consumer price index is expected to decline during the year from 250 to 245, what is the expected real i..

  Inventory system versus a periodic inventory system

How are discounts recorded in a perpetual inventory system versus a periodic inventory system?

  The condition that states that the domestic interest rate

1 the condition that states that the domestic interest rate equals the foreign interest rate minus the expected

  Explain carefully why the futures price of gold can be

explain carefully why the futures price of gold can be calculated from the spot price and other observable variables

  How much if any value will be forgone that is whats the

tesar chemicals is considering projects s and l whose cash flows are shown below. these projects are mutually exclusive

  Junk bond market and capital structure choice

The development of the new issue junk bond market had important implications for capital structure choice.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd