Problem
1. What is the dollar amount of the coupon payment every year?
2. Is the coupon payment a fixed or variable rate?
3. Is this bond investment grade? (Yes or No)
4. What amount of principal is Meadowbrook Rehabilitation Corporation promising to pay investors at maturity?
5. Would you expect this bond's yield for investors to be higher or lower than investment grade bonds? Why?
6. Is this bond a junk bond?