asked 190k views
3 votes
Jasper trucking plans to issue $3 million in five-year bonds. they believe they can afford to pay $286,000 in interest to bondholders each year. which annual interest rate should they use for their bonds? the current market interest rate is 10.2% for similar bonds.

A. 4.8%
B. 9.5%
C. 10.2%
D. 16.3%

1 Answer

5 votes

Answer:

B. 9.5%

The answer is B. 9.5%

answered
User Alphadog
by
8.1k points
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