Assignment:
Daewoo Motors has been told it could issue $150 million face value in Euro-CP at a discount rate of 8.9% based on a 360-day year.
a. If the maturity of Daewoo’s Euro-CP is 91 days, what will be its proceeds from the issue?
b. What will be its annual yield on this issue?
Your answer must be, typed, double-spaced, Times New Roman font (size 12), one-inch margins on all sides, APA format and also include references.