The firm has bonds outstanding that mature in four years
The firm has bonds outstanding that mature in four years. The par value of each bond is $1000, the coupon rate is 8%, paid annually, and the current price is $988. The firm’s tax rate is 40%. What is the debt holder’s required rate of return?
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suppose you know that a companyrsquos stock currently sells for 54 per share and the required return on the stock is 9
the firm has bonds outstanding that mature in four years the par value of each bond is 1000 the coupon rate is 8 paid
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