Problem 7.14 – Lourdes Corporation
Fundamentals of Financial Management, Concise
Brigham and Houston
09th Edition, 10th Edition, and 11th Edition
Given the coupon rate, payment periods, par value, years to maturity, years and price till it’s callable, and sell price… determine the best estimate of these bonds’ remaining life and determine the coupon rate Lourdes would need to set in order to issue new bonds at par.