Question: Question 4 Part 2 (5 marks) Dubbin Ltd issues debenture at a face value of $10 million in 4-year, 8% annually of coupon rate. The

Question 4 Part 2 (5 marks) Dubbin Ltd issues debenture at a face value of $10 million in 4-year, 8% annually of coupon rate. The rate of return required by the market is 8% per annum. REQUIRED: 1. Determine whether the debenture is issued at par value, discount, or premium (1 mark) 2. Determine the issue price of the debenture (rounded to the nearest dollar) (2 marks) 3. Assume the coupon rate is 5% annually, but the market rate of return is 71%, repeat the second requirement above. (2 marks) finited States

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