Instructions

1. enter your student class number in cell A1 under the "Firm's debt tab"

2. look at that "Spreads&Treasuries" tab to find your rating. Each of your debts has the same rating. Enter the rating letters in C column of "Firm's debt" tab

3. using the rating, corporate spread table and treasury rate table, enter the "required market yield" in "Firm's debt"

4. generate the other data for the D column in "Firm's debt"

5. generate the data and the valuations for Debt 1, 2 and 3, and the total debt valuation

6. I suggest you print the Firm's debt page in landscape format. Print via "fit to one page"

7. your student class number already appears on "Muni" tab

8. calculate datum for cell R13 under "Muni" tab

9. generate the data to fill out the appropriate box and find NPV saving and actual yield

10. I suggest you print the Muni page in landscape format. Print via "fit to one page"

11. all you need is the two pages for you homework submission

Valuation of three kinds of business debt

Structuring municipal debt that has a sinking fund

Prevailing current interest rate data

Attachment:- homework-1.xlsx