Due to a number of lawsuits related to toxic wastes a major, Financial Management

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Due to a number of lawsuits related to toxic wastes a major

Due to a number of lawsuits related to toxic wastes, a major chemical manufacturer has recently experienced a market revaluation. The firm has a bond issue outstanding 15 years to maturity and a coupon rate of 8 percent, with interest paid semiannually. The required nominal rate on this debt has now risen to 16 percent. What is the current value of this bond?

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Financial Management: Due to a number of lawsuits related to toxic wastes a major

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Financial Management: Due to a number of lawsuits related to toxic wastes a major

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