Homework: Financing S&S Air's Expansion Plans with a Bond Issue
I. Using a Word document, complete the requirements of the Mini-case "Financing S & S Air's Expansion Plans with a Bond Issue", located at the very end of Chapter 7 in your course textbook.
II. Your response should take the form of a memo, as explained in the case.
i. For each of the ten bond features listed, briefly describe the likely impact of each of the features on the coupon rate demanded by potential bond investors when this new bond is issued. Will it cause the required coupon rate to be higher or lower?
ii. In addition, for each of the ten bond features listed, briefly describe the advantages or disadvantages, from S&S Air's perspective, of implementing that feature with the newly-issued bond.
III. When you have completed your homework, save a copy for yourself and submit a copy to your instructor by the end of the workshop.
Format your homework according to the following formatting requirements:
i) The answer should be typed, using Times New Roman font (size 12), double spaced, with one-inch margins on all sides.
ii) The response also includes a cover page containing the title of the homework, the student's name, the course title, and the date. The cover page is not included in the required page length.
iii) Also include a reference page. The Citations and references must follow APA format. The reference page is not included in the required page length.
Attachment:- Background-Information.rar