Selling bonds. Rawlings needs to ralse $38,700,000 for its new manufacturing plant in Jamaica Berkman linvestment Bank will sell the bond for a coermiasion of 2.4% . The market yield is currently 7.5% on thenty-year zero-coupon bonds, If Rawlinge wants to issue a zero-coupon bond, how many, bonds will it need to sell lo raise the $38,700 , 000 ? Assume that the bond is semiannual and issued at a par value of $1,000. How mainy bends wa Rawlngs need to sell to raibe the $38700,000 ? (Round to the neareast whole number)
Selling bonds. Rawlings needs to ralse $38,700,000 for its new manufacturing plant in Jamaica Berkman linvestment Bank will sell the bond for a coermiasion of 2.4% . The market yield is currently 7.5% on thenty-year zero-coupon bonds, If Rawlinge wants to issue a zero-coupon bond, how many, bonds will it need to sell lo raise the $38,700 , 000 ? Assume that the bond is semiannual and issued at a par value of $1,000. How mainy bends wa Rawlngs need to sell to raibe the $38700,000 ? (Round to the neareast whole number)
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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Selling bonds. Rawlings needs to ralse $38,700,000 for its new manufacturing plant in Jamaica Berkman linvestment Bank will sell the bond for a coermiasion of 2.4% . The market yield is currently 7.5% on thenty-year zero-coupon bonds, If Rawlinge wants to issue a zero-coupon bond, how many, bonds will it need to sell lo raise the $38,700 , 000 ?
Assume that the bond is semiannual and issued at a par value of $1,000.
How mainy bends wa Rawlngs need to sell to raibe the $38700,000 ? (Round to the neareast whole number)
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