What is approximate total amount of money issuing these bond

Assignment Help Business Economics

Reference no: EM13978760

The Biltmore Equipment Co. just issued 250,000 zero coupon bonds. These bonds mature in 30 years, have a par value of $1,000, and have a yield to maturity of 7.25 percent. What is the approximate total amount of money the company raised from issuing these bonds?

Reference no: EM13978760

Questions Cloud

What is the estimated loan rate for the five-year bank loan : Cartco needs to borrow $4 million for an upgrade to its headquarters and manufacturing facility. Management has decided to borrow using a five-year term loan from its existing commercial bank. The prime rate is 3 percent, and Cartco’s current rating ..

Assume investment is low risk-no riskier than putting momey : How much are you willing to invest today to receive $150 a year for seven years and an additional $1,200 at the end of the seventh year? Assume this investment is low risk, that is, no riskier than putting money in a bank earning 2%.

Write the program with java class and filename pythagorasxy : Write pseudocode in a text editor that shows the program sequence: 1) output explanation of the program purpose, 2) query the user for the sides of the triangle, 3) compute the length of the hypotenuse, 4) output the result.

Describe how you might approach photography differently : Consider the effect of composing photographs using the fundamental principles of photography you have studied in this course.

What is approximate total amount of money issuing these bond : The Biltmore Equipment Co. just issued 250,000 zero coupon bonds. These bonds mature in 30 years, have a par value of $1,000, and have a yield to maturity of 7.25 percent. What is the approximate total amount of money the company raised from issuing ..

Planning to save for retirement : You are planning to save for retirement over the next 35 years. To do this, you will invest $840 per month in a stock account and $440 per month in a bond account. The return of the stock account is expected to be 10.4 percent, and the bond account w..

Calculate the NPV of going directly to market : Ang Electronics, Inc., has developed a new DVDR. If the DVDR is successful, the present value of the payoff (when the product is brought to market) is $34.7 million. If the DVDR fails, the present value of the payoff is $12.7 million. If the product ..

Perform functional decomposition and build data flow diagram : For the next level (Level 2), only decompose one of the processes from Level 1. Your answer will consist of 3 PowerPoint slides - one for the Context, one for Level 1, and one for the decomposition of one of the Level 1 processes into Level 2. Per..

Determining the common stock outstanding : There are 10,000 shares of $2 par common stock outstanding. The board of directors declares a 15 cent dividend per share on May 15, 2016. On June 30, the above declared dividend is paid to holders of record as of J..

User Account

All Pages