Market Enterprises would like to issue bonds
Question # 00005933 Posted By: Updated on: 12/30/2013 01:36 AM Due on: 12/30/2013
Market Enterprises would like to issue bonds and needs to determine the approximate rate they would need to pay investors. A firm with similar risk recently issued bonds with the following current features a 7% coupon rate, 20 years until maturity, and a current price of $1,150. At what rate would Market Enterprises expect to issue their bonds, assuming annual interest payments?