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Market Enterprises would like to issue bonds

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Question;Market Enterprises would like to issue bonds and needs to determine the approximate rate they would need to pay investors. A firm with similar risk recently issued bonds with the following current features a 7% coupon rate, 20 years until maturity, and a current price of $1,150. At what rate would Market Enterprises expect to issue their bonds, assuming annual interest payments?

 

Paper#44738 | Written in 18-Jul-2015

Price : $22
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