What is? temples after-tax cost of debt on the? bond

Assignment Help Financial Management

Reference no: EM131296817

Temple-Midland, Inc. is issuing a 1,000 par value bond that pays 7.7 percent annual interest and matures in 15 years. Investors are willing to pay ?$945 for the bond and Temple faces a tax rate of 30 percent. What is? Temple's after-tax cost of debt on the? bond?

Reference no: EM131296817

Questions Cloud

Account value at retirement and annual withdrawal : Paul Adams owns a health club in downtown Los Angeles. He charges his customers an annual fee of $690 and has an existing customer base of 540. Paul plans to raise the annual fee by 6 percent every year and expects the club membership to grow at a co..

Write the mini-saga from a patient and care-giver : For this weeks discussion question, you can write the mini-saga from a patient, care-giver, or health care provider point of view. Mini-sagas can be positive or negative.

Is it ethical to help one work group at the expense : Is it ethical to help one work group at the expense of another group?- For instance, suppose one group has excellent performance and you want to reward its members with an afternoon off.

The standard deviation of the market-index portfolio : The standard deviation of the market-index portfolio is 35%. Stock A has a beta of 1.40 and a residual standard deviation of 45%. Calculate the total variance for an increase of 0.20 in its beta? Calculate the total variance for an increase of 7.54% ..

What is? temples after-tax cost of debt on the? bond : Temple-Midland, Inc. is issuing a 1,000 par value bond that pays 7.7 percent annual interest and matures in 15 years. Investors are willing to pay ?$945 for the bond and Temple faces a tax rate of 30 percent. What is? Temple's after-tax cost of debt ..

Write a statement of his own philosophy of education : Write a statement of his/her own philosophy of education focusing on how instructional design and technology provides insight to student/trainee learning and engagement.

Contrast risk with uncertainty : How is sensitivity analysis used in project selection? Contrast risk with uncertainty. Describe the window-of-opportunity approach. How does a risk analysis operate? How does a manager interpret the results?

What is the value at year eight of perpetual stream : Given an interest rate of 6.0 percent per year, what is the value at Year 8 of a perpetual stream of $3,050 payments that begin at Year 19?

Define business ethics and describe an ethical situation : Define business ethics and describe an ethical situation in which you had to distinguish between right and wrong?- Identify the entities to which firms have a social responsibility.

User Account

All Pages