Nicholas Industries can issue a 20-year bond with a 6% annual coupon. This bond is not convertible, is not callable, and has no sinking fund. Alternatively, Nicholas could issue a 20-year bond that is convertible into common equity, may be called, and has a sinking fund. Which of the following most accurately describes the coupon rate that Nicholas would have to pay on the convertible, callable bond?
A. It could be less than, equal to, or greater than 6%.
B. Greater than 6%.
C. Exactly equal to 8%.
D. Less than 6%.
E. Exactly equal to 6%.
Answer: A
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Currently, Bruner Inc.'s bonds sell for $1,250. They pay a $120 annual coupon, have a 15-year maturity, and a $1,000 par value, but they can be called in 5 years at $1,050. Assume that no costs other than the call premium would be incurred to call and refund the bonds, and also assume that the yield curve is horizontal, with rates expected to remain at current levels on into the future. What is the difference between this bond's YTM and its YTC? (Subtract the YTC from the YTM.)
A. 2.11% B. 2.32% C. 2.55% D. 2.80% E. 3.09%
Identify and explain the six characteristics market segments should possess
What will be an ideal response?
A résumé summarizes information related to a job's requirements; the application message
a. adds exact details needed for processing payroll and benefits. b. summarizes how the company can benefit the applicant. c. should be omitted unless specifically requested. d. interprets the résumé in terms of employer benefits.
An assembly line with 11 tasks is to be balanced. The longest task is 2.4 minutes, the shortest task is 0.4 minutes, and the sum of the task times is 18 minutes. The line will operate for 600 minutes per day
(a) Determine the minimum and maximum cycle times. (b) What range of output is theoretically possible for the line? (c) What is the minimum number of stations needed if the maximum output rate is to be sought? (d) What cycle time will provide an output rate of 200 units per day?