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Business, 15.11.2019 21:31 pchisholm100

Shanken corp. issued a bond with a maturity of 30 years and a semiannual coupon rate of 6 percent 4 years ago. the bond currently sells for 95 percent of its face value. the book value of the debt issue is $45 million. in addition, the company has a second debt issue on the market, a zero coupon bond with 15 years left to maturity; the book value of this issue is $50 million and the bonds sell for 54 percent of par. the company’s tax rate is 40 percent.

what is the company’s total book value of debt? (do not round intermediate calculations. enter your answer in dollars, not millions of dollars (e. g., 1,234,

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Shanken corp. issued a bond with a maturity of 30 years and a semiannual coupon rate of 6 percent 4...
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