Use the Information for the Question(s)below

question 5

Multiple Choice

Use the information for the question(s) below.
Luther Industries needs to raise $25 million to fund a new office complex.The company plans on issuing ten-year bonds with a face value of $1000 and a coupon rate of 7.0% (annual payments) .The following table summarizes the YTM for similar ten-year corporate bonds of various credit ratings:
-What rating must Luther receive on these bonds if they want the bonds to be issued at par?

• A)A
• B)B
• C)BBB
• D)AA

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Definitions:

Cerebellum

A major structure of the brain involved in coordination of voluntary movements, balance, and posture, located under the cerebrum.

Parasympathetic Component

Part of the autonomic nervous system involved in rest and digest activities, counteracting the action of the sympathetic nervous system.

Cranial Nerves

Twelve pairs of nerves that emerge directly from the brain, not the spinal cord, and pass through various foramina in the skull to innervate structures in the head, neck, and visceral organs directly.

Subarachnoid Space

The area between the arachnoid membrane and the pia mater surrounding the brain and spinal cord, filled with cerebrospinal fluid.