Juno has 8 percent bonds outstanding that mature in 19 years The bonds pay interest semiannually and have a face value of $1,000 Currently, the bonds are selling for $989 each What is Juno 's pre tax cost of debt a 8 09 percent b 8 11 percent c 8 14 percent d 8 18 percent e 8 23 percent ...

b 811 percent Calculation of Yield to Maturity using financial calculator Pre ...

Juno has 8 percent bonds outstanding that mature in 19 years. The bonds pay interest semiannually and

Question:

Juno has 8 percent bonds outstanding that mature in 19 years. The bonds pay interest semiannually and have a of $1,000. Currently, the bonds are selling for $989 each. What is Juno's pre-tax cost of debt?
a. 8.09 percent
b. 8.11 percent
c. 8.14 percent
d. 8.18 percent
e. 8.23 percent

Face Value
Face value is a financial term used to describe the nominal or dollar value of a security, as stated by its issuer. For stocks, the face value is the original cost of the stock, as listed on the certificate. For bonds, it is the amount paid to the...