Too Young, Inc., has a bond outstanding with a coupon rate of
7.1 percent and semiannual...
Too Young, Inc., has a bond outstanding with a coupon rate of
7.1 percent and semiannual payments. The bond currently sells for
$1,891 and matures in 17 years. The par value is $2,000. What is
the company's pretax cost of debt?
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Whatever, Inc., has a bond outstanding with a coupon rate of
5.87 percent and semiannual payments. The yield to maturity is 6.9
percent and the bond matures in 13 years. What is the market price
if the bond has a par value of $1,000?
Otobo, Inc., has a bond outstanding with a coupon rate of 5.0
percent and semiannual payments. The yield to maturity is 9.9
percent and the bond matures in 14 years. What is the market price
if the bond has a par value of $6000?
Zinger has a bond outstanding with a coupon rate of 5.6 percent
and semiannual payments. The bond has a yield to maturity of 5.5
percent, a par value of $2,000, and matures in 18 years. Calculate
the market value of the bond?
2,022.67
101.13
103.16
106.19
1,012.89
Kasey Corp. has a bond outstanding with a coupon rate of 5.34
percent and semiannual payments. The bond has a yield to maturity
of 6.7 percent, a par value of $2,000, and matures in 18 years.
What is the quoted price of the bond?
rev: 12_21_2018_QC_CS-151926, 11_01_2019_QC_CS-188664,
01_14_2020_QC_CS-195144
Multiple Choice
1,889.80
1,718.00
85.90
87.62
86.15
Kasey Corp. has a bond outstanding with a coupon rate of 5.3
percent and semiannual payments. The bond has a yield to maturity
of 6.7 percent, a par value of $1,000, and matures in 18 years.
What is the quoted price of the bond
Galvatron Metals has a bond outstanding with a coupon rate of
6.7 percent and semiannual payments. The bond currently sells for
$1,891 and matures in 17 years. The par value is $2,000 and the
company's tax rate is 35 percent. What is the company's aftertax
cost of debt?
3.39% 3.63% 4.72% 5.00% 4.36%
Kasey Corp. has a bond outstanding with a coupon rate of 5.5
percent and semiannual payments. The bond has a yield to maturity
of 6.5 percent, a par value of $2,000, and matures in 22 years.
What is the quoted price of the bond?
Galvatron Metals has a bond outstanding with a coupon rate of
6.5 percent and semiannual payments. The bond currently sells for
$1,905 and matures in 15 years. The par value is $2,000 and the
company's tax rate is 40 percent. What is the company's aftertax
cost of debt?
Galvatron Metals has a bond outstanding with a coupon rate of
6.6 percent and semiannual payments. The bond currently sells for
$1,856 and matures in 22 years. The par value is $2,000 and the
company's tax rate is 39 percent. What is the company's aftertax
cost of debt?
The yield to maturity of a $1,000 bond with a 7.1% coupon rate,
semiannual coupons, and two years to maturity is 8.3% APR,
compounded semiannually. What is its price?