If+your+short-term+interest+rate+(the+rate+on+your+current+debt+is+12.1%,+then+your+bond+rate+(the+rate+on+your+long-term+debt)+is:_________

Question

12-09-2022
Business

contestada

If+your+short-term+interest+rate+(the+rate+on+your+current+debt+is+12.1%,+then+your+bond+rate+(the+rate+on+your+long-term+debt)+is:_________

Respuesta :

Otras preguntas

For $7.52 you purchase 8 pens and highlighters from a local bookstore. Each highlighter costs $1.09 and each pen costs $0.69. How many pens did you buy?

1. All of the following are physical responses to relaxation EXCEPT a. your blood pressure and heart rate decrease. b. your digestive system returns to normal

A bullet leaves a gun with a horizontal velocity of 100 m/s. Calculate the distance it would travel in 1.3 seconds.

−5 5/8÷5 i need help plz

2. 3 times the sum of a number x and 13

Which of the following reflect(s) a growing interest in physical activity on the part of the general population? the large numbers who participate regularly in

Magnesium (used in the manufacture of light alloys) reacts with iron(III) chloride to form magnesium chloride and iron. 3Mg(s) + 2FeCl₃(s) → 3MgCl₂(s) + 2Fe(s)

Among the pre-Columbian Amerindians, the Aztec were probably the most accomplished in which of the following areas? a. record keeping and literacy b. commerce a

what is the sum if you subtract 19/8 - 5/8

A box is to be constructed with a rectangular base and a height of 5 cm. If the rectangular base must have a perimeter of 28 cm, which quadratic equation best m

shubhamsinha3013 shubhamsinha3013 · Answer 1 · 2022-09-16T15:16:04+02:00

If your short-term interest rate (the rate on your current debt) is 12.1%, then your bond rate (the rate on your long-term debt) is 13.5%.

Bondholders will finance up to 80% of the value of your plant and equipment (the capacity and automation of the Production Department).

Each bond issue provides investors a coupon, or annual interest payment. If the face amount or principle of bond 12.6S2011 is $1,000,000, the holder will get a payment of $126,000 every year for the next ten years.

At the end of the tenth year, the holder would also get the $1,000,000 principle.

Every year, your company is assigned a credit rating ranging from AAA (best) to D. (worst).

Ratings in Capstone are calculated by comparing current debt interest rates to the prime rate.

The interest rate on new bonds will be 1.4% higher than the current debt interest rate. If your current loan interest rate is 12.1%, the bond rate is 13.5%.

Hence, the answer is 13.5%.

Learn more about bond:

https://brainly.com/question/25596583

#SPJ4