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Unformatted text preview: Coupon rate 7.50% Bond price (% of par) 96.5 Settlement date 01/01/05 Maturity date 01/01/11 Payments per year 2 Output Area: a. BV(E) $47,500,000 BV(D) $135,000,000 V $182,500,000 E/V 0.2603 D/V 0.7397 b. MV(S) $503,500,000 MV(B) $127,650,000 V $631,150,000 S/V 0.7978 B/V 0.2022 The market value weights are more relevant because they represent a more current valuation of the debt and equity....
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This note was uploaded on 07/24/2009 for the course FIN FIN taught by Professor Robbani during the Spring '09 term at University of Maryland Baltimore.
- Spring '09