Assume the required retum on your bond issue will be 8.4 percent, and you're evaluating...
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Assume the required retum on your bond issue will be 8.4 percent, and you're evaluating two issue alternatives a 8.4 percent semiannual coupon bond and a zero coupon bond. Your company's tax rate is 35 percent a) How many of the coupon bonds would you need to issue to raise the $35 9 miltion? (Do not round 1,234,567)) (b) How many of the zeroes would you need to issue? (Do not round intermedlate caku the whole number for your answer, not miltions (a.g. 1,234,567 Round your answer to 2 Requirement 2 (a) in 24 years, what will your c repayment be if you issue the coupon bonds? (Do not round your answer in calculations. Enter Enter your answer in () what you nsue the zeroes? (Do not round intermediate dollars, not militions of dollars (e.g.. 1,234,567). Round your answer to the nearest whole dollar amount (eg 32)) cash outflows for the first year under the two diflerent scenanos (Do not round Enter yoar
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