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How many bonds will dipitro paint

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Reference no: EM132091381

DiPitro's Paint and Wallpaper, Inc., needs to raise $1.19 million to finance plant expansion. In discussions with its investment bank, DiPitro's learns that the bankers recommend a debt issue with gross proceeds of $1,000 per bond and they will charge an underwriter's spread of 7.5 percent of the gross proceeds.

How many bonds will DiPitro's Paint and Wallpaper need to sell in order to receive the $1.19 million it needs?

Reference no: EM132091381

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