Boeing has a bond outstanding with 15 years to maturity, a $1,000 par value, a coupon rate of 6.4%, with coupons paid semiannually, and a price of 91.03 (percent of par).
Boeing has a bond outstanding with 15 years to maturity, a $1,000 par value, a coupon rate of 6.4%, with coupons paid semiannually, and a price of 91.03 (percent of par).
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Boeing has a bond outstanding with 15 years to maturity, a $1,000 par value, a coupon rate of 6.4%, with coupons paid semiannually, and a price of 91.03 (percent of par).
If the company wants to issue a new bond with the same maturity at par, what coupon rate should it choose?
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