What cash will geralt receive on issuance

Assignment Help Financial Accounting

Reference no: EM133341006

Question: Geralt issues a bond with a face value of $5,000, stated semi-annual rate of 6% when the current market rate is 7%. The bond lasts 5 years and pays interest semi-annually. What cash will Geralt receive on issuance? After two periods (one year), Yennefer (Geralt's parent) buys the bond when the prevailing interest rate was 5%. What gain or loss on the repurchase does the consolidated entity recognize? (losses are negative). Hint: Find the PV of the future cash flows to find the purchase price, and find the current NBV of the bond to Geralt.

Reference no: EM133341006

Questions Cloud

What would three factors be that may have an impact : What would three factors be that may have an impact on staffing requirements in a sport and recreation organisation when setting staffing levels. How would

Describes the relationship between the two variables : Set up an equation that describes the relationship between the two variables in the following situation. Graph that relationship.A manufacturer makes two types

How can a systems approach such as the one health initiative : How can a systems approach such as the One Health Initiative improve health outcomes for the topic you choose to discuss (vs traditional reductionist approach).

Describes 3 complexities associated with management control : Describes 3 complexities associated with management control for multinational companies and also described 2 ways in which the complexities can be addressed

What cash will geralt receive on issuance : What cash will Geralt receive on issuance? After two periods (one year), Yennefer (Geralt's parent) buys the bond when the prevailing interest rate was 5%.

Why is it significant that awareness regarding servant : Why is it significant that awareness regarding servant leadership and its execution is raised? What larger implications may be drawn from the continued

Find the nominal rate converted quarterly that is earned : Find the nominal rate converted quarterly that is earned if the account balance just after the last deposit on August 15, 2025 is $61340.90.

How can business managers lead their own performance : How can business managers/ownders lead their own performance and training? For example, the store owner of a coffee shop. Please provide a genuine reference or

What is the company wacc : Assume that the overall cost of debt is the weighted average of that implied by the two outstanding debt issues. The tax rate is 21 percent. What is the company

User Account

All Pages