Question: What is the new NPV? Net Present Value PAR VALUE $ 3,000,000 N= 2 years COUPON RATE 8% N.A.Q. Bond Emission Date: 6/10/2020 ---------------------------------- Buy

What is the new NPV?  

Net Present Value  

PAR VALUE  $ 3,000,000

N= 2 years

COUPON RATE  8% N.A.Q.

Bond Emission Date:   6/10/2020

----------------------------------

Buy on:  7/10/2021

Opportunity Rate 7% EA




4.) What is the new NPV?

Net Present Value  

PAR VALUE  $ 6,000,000

N= 3 years

COUPON RATE  10% N.A.S.

Bond Emission Date:   6/10/2019

----------------------------------

Buy on:  1/10/2021

Opportunity Rate 9% EA

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