Question: Sunburn Sunscreen has a zero coupon bond issue outstanding with a face value of $13,000 that matures in one year. The current market value of

Sunburn Sunscreen has a zero coupon bond issue outstanding with a face value of $13,000 that matures in one year. The current market value of the firm's assets is $13,100. The standard deviation of the return on the firm's assets is 29 percent per year and the annual risk-free rate is 5 percent per year, compounded continuously. What is the market value of the firm's debt? Round your answer to the nearest cent. Tip: viewing the firm in terms of options allows us to use the Black-Scholes Model
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