Jallouk corporation has a bond outstanding with a face


Jallouk Corporation has a bond outstanding with a face value of $40,000. The bond matures in 20 years. The bond makes no coupon payments for the first six years, then pays $2,000 every six months over the subsequent eight years. Finally, the bond pays $2, 300 every six months over the last six years. The face value (original principal on the loan) is also repaid at maturity. The annual required return on the bond is 8 percent with semi-annual compounding. What is the price of this bond?

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Financial Management: Jallouk corporation has a bond outstanding with a face
Reference No:- TGS02292564

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