subject
Business, 22.03.2021 17:40 steven122048i

Kenny Electric Company's noncallable bonds were issued several years ago and now have 20 years to maturity. These bonds have a 9.25% annual coupon, paid semiannually, sells at a price of $1,075, and has a par value of $1,000. If the firm's tax rate is 25%, what is the component cost of debt for use in the WACC calculation? a. 5.44% b. 6.35% c. 6.03% d. 5.73% e. 6.67%

ansver
Answers: 2

Another question on Business

question
Business, 21.06.2019 21:30
In a macroeconomic context, what are implicit liabilities? money owed to people possessing government issued bonds. the amount of money that firms collectively owe to shareholders. money that the government has promised to pay in the future. payments that the federal government undertakes only during periods of recession. which of the choices is a significant implicit liability in the united states? military spending education spending national science foundation spending social security
Answers: 2
question
Business, 22.06.2019 04:00
The simple interest in a loan of $200 at 10 percent interest per year is
Answers: 2
question
Business, 23.06.2019 00:30
Suppose the government decides to issue a new savings bond that is guaranteed to double in value if you hold it for 20 years. assume you purchase a bond that costs $25. a. what is the exact rate of return you would earn if you held the bond for 20 years until it doubled in value? (do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b. if you purchased the bond for $25 in 2017 at the then current interest rate of .27 percent year, how much would the bond be worth in 2027? (do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) c. in 2027, instead of cashing in the bond for its then current value, you decide to hold the bond until it doubles in face value in 2037. what annual rate of return will you earn over the last 10 years? (do not
Answers: 3
question
Business, 23.06.2019 00:30
It's possible for a debt card transaction to bounce true or false
Answers: 1
You know the right answer?
Kenny Electric Company's noncallable bonds were issued several years ago and now have 20 years to ma...
Questions
question
Biology, 04.06.2020 23:58
question
Mathematics, 04.06.2020 23:58
question
Mathematics, 04.06.2020 23:58
question
Mathematics, 04.06.2020 23:58
question
Mathematics, 04.06.2020 23:58
Questions on the website: 13722360