A competitor to Greenbrier with the same credit rating also issued a 16-year, 7.6% coupon bond but with semi-annual coupons. The current price of this bond is also $1,062.50 per $1,000 par value. Which bond is the better value for you as an investor?
A. Greenbrier’s bond
B. Competitor’s bond
C. Both are the value since they are priced the same