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Business, 20.12.2019 22:31 Tirone

Afirm has a credit rating of aa. you notice that the credit spread for 10-year maturity aa debt is 90 basis points (0.90%). your firm’s ten-year debt has a coupon rate of 5% paid semiannually. you see that new ten-year treasury notes are being issued at par with a coupon rate of 4.5%. what should the price of your outstanding ten-year bonds be? the bond’s face value is $100.

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Afirm has a credit rating of aa. you notice that the credit spread for 10-year maturity aa debt is 9...
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