Calculate the selling price of a bond. Bond indenture Issue Date 11/2011 Face value $100,000 Coupon interest

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Calculate the selling price of a bond.

Bond indenture

Issue Date 11/2011

Face value $100,000

Coupon interest rate 12% annually

Maturity date 12/31/2013

Additional information

The market interest rate for bonds of similar risk is 9%

Interest is paid out on an annual basis.

The market price of the bond has yet to be determined.

Related Book For answer-question

Fundamentals of Corporate Finance

ISBN: 978-1259024962

6th Canadian edition

Authors: Richard Brealey, Stewart Myers, Alan Marcus, Devashis Mitra, Elizabeth Maynes, William Lim

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Posted Date: Jan 05, 2021 01:28 PM

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Calculate the selling price of a bond. Bond indenture Issue Date 11/2011 Face value $100,000 Coupon interest

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Fundamentals of Corporate Finance

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