Chamberlain Company wants to issue new 17-year bonds for some much-neededexpansion projects. The company currently has 10.2 percent coupon bonds on themarket that sell for $883.72, make semiannual payments, and mature in 17 years. Whatcoupon rate should the company set on its new bonds if it wants them to sell at par?Assume a par value of $1,000.Multiple Choice12.10%O11.70%O11.50%O5.90%O11.80%

I used Excel to compute, just input the following the formula is also given. For the rate, use the…

Answered: Chamberlain Company wants to issue new…

College Accounting, Chapters 1-27

23rd Edition

ISBN:9781337794756

Author:HEINTZ, James A.

Publisher:HEINTZ, James A.

Chapter22: Corporations: Bonds

Section: Chapter Questions

Problem 1CE

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Coronel Corporation wants to issue new 20-year bonds. The company currently has 8.5 percent bonds on the market that sell for $994, make semiannual payments, and mature in seven years. What should the coupon rate be on the new bonds if the firm wants to sell them at par? A. 8.87% B. 8.75% C. 8.62%
S Uliana Company wants to issue new 19-year bonds for some much-needed expansion projects. The company currently has 10.3 percent coupon bonds on the market that sell for $1,143, make semiannual payments, have a par value of $1,000, and mature in 19 years. What coupon rate should the company set on its new bonds if it wants them to sell at par? Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16. Answer is complete but not entirely correct. Coupon rate 9.48 X %
Help me please get the correct answer thanks
Q19 BDJ Co. wants to issue new 25-year bonds for some much-needed expansion projects. The company currently has 7.8 percent coupon bonds on the market that sell for $1,125, make semiannual payments, and mature in 20 years. What coupon rate should the company set on its new bonds if it wants them to sell at par?
Assume all bonds have a face or par value of 1,000 unless told otherwise
ces Suppose your company needs to raise $69 million and you want to issue 30-year bonds for this purpose. Assume the required return on your bond issue will be 4.2 percent, and you're evaluating two issue alternatives: a semiannual coupon bond with a coupon rate of 4.2 percent and a zero coupon bond. The tax rate is 25 percent. Both bonds will have a par value of $2,000. a-1. How many of the coupon bonds would you need to issue to raise the $69 million? a-2. How many of the zeroes would you need to issue? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) b-1. In 30 years, what will your company's repayment be if you issue the coupon bonds? (Do not round intermediate calculations and enter your answers in dollars, not millions of dollars, rounded to the nearest whole number e.g., 1,234,567.) b-2. What if you issue the zeroes? (Do not round intermediate calculations and enter your answer in dollars, not millions of dollars, e.g., 1,234,567.)…
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the answer is 9.58% can you provide me with the work to the answer?
ces Suppose your company needs to raise $40.3 million and you want to issue 30-year bonds for this purpose. Assume the required return on your bond issue will be 5.3 percent, and you're evaluating two issue alternatives: a semiannual coupon bond with a coupon rate of 5.3 percent and a zero coupon bond. The tax rate is 23 percent. Both bonds will have a par value of $1,000. a. How many of the coupon bonds would you need to issue to raise the $40.3 million? How many of the zeroes would you need to issue? Note: Do not round Intermediate calculations. Round your coupon bond answer to the nearest whole number, e.g., 32 and your zero coupon bond answer to 2 decimals, e.g., 32.16. b. In 30 years, what will your company's repayment be if you issue the coupon bonds? What if you issue the zeroes? Note: Do not round Intermediate calculations and enter your answers in dollars, not millions, rounded to the nearest whole number, e.g., 1,234,567. c. Assume that the IRS amortization rules apply for…
Smooth Sailing Warehouse wants to issue 15-year, zero coupon bonds that yield 7.50% with semi-annual compounding. What price should it charge for these bonds if the face value is $1,000? Group of answer choices $331.40 $337.97 $362.14 $369.94

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